(contemplative upbeat music) >> Hello and welcome to this CUBE Conversation. I'm John Furrier, your host of theCUBE, here in Palo Alto, California. Got a great topic on expanding capabilities for urgent computing. Dan Stanzione, he's Executive Director of TACC, the Texas Advanced Computing Center, and Rajesh Pohani, VP of PowerEdge, HPC Core Compute at Dell Technologies. Gentlemen, welcome to this CUBE Conversation. >> Thanks, John. >> Thanks, John, good to be here. >> Rajesh, you got a lot of computing in PowerEdge, HPC, Core Computing. I mean, I get a sense that you love compute, so we'll jump right into it. And of course, I got to love TACC, Texas Advanced Computing Center. I can imagine a lot of stuff going on there. Let's start with TACC. What is the Texas Advanced Computing Center? Tell us a little bit about that. >> Yeah, we're part of the University of Texas at Austin here, and we build large-scale supercomputers, data systems, AI systems, to support open science research. And we're mainly funded by the National Science Foundation, so we support research projects in all fields of science, all around the country and around the world. Actually, several thousand projects at the moment. >> But tied to the university, got a lot of gear, got a lot of compute, got a lot of cool stuff going on. What's the coolest thing you got going on right now? >> Well, for me, it's always the next machine, but I think science-wise, it's the machines we have. We just finished deploying Lonestar6, which is our latest supercomputer, in conjunction with Dell. A little over 600 nodes of those PowerEdge servers that Rajesh builds for us. Which makes more than 20,000 that we've had here over the years, of those boxes. But that one just went into production. We're designing new systems for a few years from now, where we'll be even larger. Our Frontera system was top five in the world two years ago, just fell out of the top 10. So we've got to fix that and build the new top-10 system sometime soon. We always have a ton going on in large-scale computing. >> Well, I want to get to the Lonestar6 in a minute, on the next talk track, but... What are some of the areas that you guys are working on that are making an impact? Take us through, and we talked before we came on camera about, obviously, the academic affiliation, but also there's a real societal impact of the work you're doing. What are some of the key areas that the TACC is making an impact? >> So there's really a huge range from new microprocessors, new materials design, photovoltaics, climate modeling, basic science and astrophysics, and quantum mechanics, and things like that. But I think the nearest-term impacts that people see are what we call urgent computing, which is one of the drivers around Lonestar and some other recent expansions that we've done. And that's things like, there's a hurricane coming, exactly where is it going to land? Can we refine the area where there's going to be either high winds or storm surge? Can we assess the damage from digital imagery afterwards? Can we direct first responders in the optimal routes? Similarly for earthquakes, and a lot recently, as you might imagine, around COVID. In 2020, we moved almost a third of our resources to doing COVID work, full-time. >> Rajesh, I want to get your thoughts on this, because Dave Vellante and I have been talking about this on theCUBE recently, a lot. Obviously, people see what cloud's, going on with the cloud technology, but compute and on-premises, private cloud's been growing. If you look at the hyperscale on-premises and the edge, if you include that in, you're seeing a lot more user consumption on-premises, and now, with 5G, you got edge, you mentioned first responders, Dan. This is now pointing to a new architectural shift. As the VP of PowerEdge and HPC and Core Compute, you got to look at this and go, "Hmm." If Compute's going to be everywhere, and in locations, you got to have that compute. How does that all work together? And how do you do advanced computing, when you have these urgent needs, as well as real-time in a new architecture? >> Yeah, John, I mean, it's a pretty interesting time when you think about some of the changing dynamics and how customers are utilizing Compute in the compute needs in the industry. Seeing a couple of big trends. One, the distribution of Compute outside of the data center, 5G is really accelerating that, and then you're generating so much data, whether what you do with it, the insights that come out of it, that we're seeing more and more push to AI, ML, inside the data center. Dan mentioned what he's doing at TACC with computational analysis and some of the work that they're doing. So what you're seeing is, now, this push that data in the data center and what you do with it, while data is being created out at the edge. And it's actually this interesting dichotomy that we're beginning to see. Dan mentioned some of the work that they're doing in medical and on COVID research. Even at Dell, we're making cycles available for COVID research using our Zenith cluster, that's located in our HPC and AI Innovation Lab. And we continue to partner with organizations like TACC and others on research activities to continue to learn about the virus, how it mutates, and then how you treat it. So if you think about all the things, and data that's getting created, you're seeing that distribution and it's really leading to some really cool innovations going forward. >> Yeah, I want to get to that COVID research, but first, you mentioned a few words I want to get out there. You mentioned Lonestar6. Okay, so first, what is Lonestar6, then we'll get into the system aspect of it. Take us through what that definition is, what is Lonestar6? >> Well, as Dan mentioned, Lonestar6 is a Dell technology system that we developed with TACC, it's located at the University of Texas at Austin. It consists of more than 800 Dell PowerEdge 6525 servers that are powered with 3rd Generation AMD EPYC processors. And just to give you an example of the scale of this cluster, it could perform roughly three quadrillion operations per second. That's three petaFLOPS, and to match what Lonestar6 can compute in one second, a person would have to do one calculation every second for a hundred million years. So it's quite a good-size system, and quite a powerful one as well. >> Dan, what's the role that the system plays, you've got petaFLOPS, what, three petaFLOPS, you mentioned? That's a lot of FLOPS! So obviously urgent computing, what's cranking through the system there? Take us through, what's it like? >> Sure, well, there there's a mix of workloads on it, and on all our systems. So there's the urgent computing work, right? Fast turnaround, near real-time, whether it's COVID research, or doing... Project now where we bring in MRI data and are doing sort of patient-specific dosing for radiation treatments and chemotherapy, tailored to your tumor, instead of just the sort of general for people your size. That all requires sort of real-time turnaround. There's a lot AI research going on now, we're incorporating AI in traditional science and engineering research. And that uses an awful lot of data, but also consumes a huge amount of cycles in training those models. And then there's all of our traditional, simulation-based workloads and materials and digital twins for aircraft and aircraft design, and more efficient combustion in more efficient photovoltaic materials, or photovoltaic materials without using as much lead, and things like that. And I'm sure I'm missing dozens of other topics, 'cause, like I said, that one really runs every field of science. We've really focused the Lonestar line of systems, and this is obviously the sixth one we built, around our sort of Texas-centric users. It's the UT Austin users, and then with contributions from Texas A&M , and Texas Tech and the University of Texas system, MD Anderson Healthcare Center, the University of North Texas. So users all around the state, and every research problem that you might imagine, those are into. We're just ramping up a project in disaster information systems, that's looking at the probabilities of flooding in coastal Texas and doing... Can we make building code changes to mitigate impact? Do we have to change the standard foundation heights for new construction, to mitigate the increasing storm surges from these sort of slow storms that sit there and rain, like hurricanes didn't used to, but seem to be doing more and more. All those problems will run on Lonestar, and on all the systems to come, yeah. >> It's interesting, you mentioned urgent computing, I love that term because it could be an event, it could be some slow kind of brewing event like that rain example you mentioned. It could also be, obviously, with the healthcare, and you mentioned COVID earlier. These are urgent, societal challenges, and having that available, the processing capability, the compute, the data. You mentioned digital twins. I can imagine all this new goodness coming from that. Compare that, where we were 10 years ago. I mean, just from a mind-blowing standpoint, you have, have come so far, take us through, try to give a context to the level of where we are now, to do this kind of work, and where we were years ago. Can you give us a feel for that? >> Sure, there's a lot of ways to look at that, and how the technology's changed, how we operate around those things, and then sort of what our capabilities are. I think one of the big, first, urgent computing things for us, where we sort of realized we had to adapt to this model of computing was about 15 years ago with the big BP Gulf Oil spill. And suddenly, we were dumping thousands of processors of load to figure out where that oil spill was going to go, and how to do mitigation, and what the potential impacts were, and where you need to put your containment, and things like that. And it was, well, at that point we thought of it as sort of a rare event. There was another one, that I think was the first real urgent computing one, where the space shuttle was in orbit, and they knew something had hit it during takeoff. And we were modeling, along with NASA and a bunch of supercomputers around the world, the heat shield and could they make reentry safely? You have until they come back to get that problem done, you don't have months or years to really investigate that. And so, what we've sort of learned through some of those, the Japanese tsunami was another one, there have been so many over the years, is that one, these sort of disasters are all the time, right? One thing or another, right? If we're not doing hurricanes, we're doing wildfires and drought threat, if it's not COVID. We got good and ready for COVID through SARS and through the swine flu and through HIV work, and things like that. So it's that we can do the computing very fast, but you need to know how to do the work, right? So we've spent a lot of time, not only being able to deliver the computing quickly, but having the data in place, and having the code in place, and having people who know the methods who know how to use big computers, right? That's been a lot of what the COVID Consortium, the White House COVID Consortium, has been about over the last few years. And we're actually trying to modify that nationally into a strategic computing reserve, where we're ready to go after these problems, where we've run drills, right? And if there's a, there's a train that derails, and there's a chemical spill, and it's near a major city, we have the tools and the data in place to do wind modeling, and we have the terrain ready to go. And all those sorts of things that you need to have to be ready. So we've really sort of changed our sort of preparedness and operational model around urgent computing in the last 10 years. Also, just the way we scheduled the system, the ability to sort of segregate between these long-running workflows for things that are really important, like we displaced a lot of cancer research to do COVID research. And cancer's still important, but it's less likely that we're going to make an impact in the next two months, right? So we have to shuffle how we operate things and then just, having all that additional capacity. And I think one of the things that's really changed in the models is our ability to use AI, to sort of adroitly steer our simulations, or prune the space when we're searching parameters for simulations. So we have the operational changes, the system changes, and then things like adding AI on the scientific side, since we have the capacity to do that kind of things now, all feed into our sort of preparedness for this kind of stuff. >> Dan, you got me sold, I want to come work with you. Come on, can I join the team over there? It sounds exciting. >> Come on down! We always need good folks around here, so. (laughs) >> Rajesh, when I- >> Almost 200 now, and we're always growing. >> Rajesh, when I hear the stories about kind of the evolution, kind of where the state of the art is, you almost see the innovation trajectory, right? The growth and the learning, adding machine learning only extends out more capabilities. But also, Dan's kind of pointing out this kind of response, rapid compute engine, that they could actually deploy with learnings, and then software, so is this a model where anyone can call up and get some cycles to, say, power an autonomous vehicle, or, hey, I want to point the machinery and the cycles at something? Is the service, do you guys see this going that direction, or... Because this sounds really, really good. >> Yeah, I mean, one thing that Dan talked about was, it's not just the compute, it's also having the right algorithms, the software, the code, right? The ability to learn. So I think when those are set up, yeah. I mean, the ability to digitally simulate in any number of industries and areas, advances the pace of innovation, reduces the time to market of whatever a customer is trying to do or research, or even vaccines or other healthcare things. If you can reduce that time through the leverage of compute on doing digital simulations, it just makes things better for society or for whatever it is that we're trying to do, in a particular industry. >> I think the idea of instrumenting stuff is here forever, and also simulations, whether it's digital twins, and doing these kinds of real-time models. Isn't really much of a guess, so I think this is a huge, historic moment. But you guys are pushing the envelope here, at University of Texas and at TACC. It's not just research, you guys got real examples. So where do you guys see this going next? I see space, big compute areas that might need some data to be cranked out. You got cybersecurity, you got healthcare, you mentioned oil spill, you got oil and gas, I mean, you got industry, you got climate change. I mean, there's so much to tackle. What's next? >> Absolutely, and I think, the appetite for computing cycles isn't going anywhere, right? And it's only going to, it's going to grow without bound, essentially. And AI, while in some ways it reduces the amount of computing we do, it's also brought this whole new domain of modeling to a bunch of fields that weren't traditionally computational, right? We used to just do engineering, physics, chemistry, were all super computational, but then we got into genome sequencers and imaging and a whole bunch of data, and that made biology computational. And with AI, now we're making things like the behavior of human society and things, computational problems, right? So there's this sort of growing amount of workload that is, in one way or another, computational, and getting bigger and bigger. So that's going to keep on growing. I think the trick is not only going to be growing the computation, but growing the software and the people along with it, because we have amazing capabilities that we can bring to bear. We don't have enough people to hit all of them at once. And so, that's probably going to be the next frontier in growing out both our AI and simulation capability, is the human element of it. >> It's interesting, when you think about society, right? If the things become too predictable, what does a democracy even look like? If you know the election's going to be over two years from now in the United States, or you look at these major, major waves >> Human companies don't know. >> of innovation, you say, "Hmm." So it's democracy, AI, maybe there's an algorithm for checking up on the AI 'cause biases... So, again, there's so many use cases that just come out of this. It's incredible. >> Yeah, and bias in AI is something that we worry about and we work on, and on task forces where we're working on that particular problem, because the AI is going to take... Is based on... Especially when you look at a deep learning model, it's 100% a product of the data you show it, right? So if you show it a biased data set, it's going to have biased results. And it's not anything intrinsic about the computer or the personality, the AI, it's just data mining, right? In essence, right, it's learning from data. And if you show it all images of one particular outcome, it's going to assume that's always the outcome, right? It just has no choice, but to see that. So how we deal with bias, how do we deal with confirmation, right? I mean, in addition, you have to recognize, if you haven't, if it gets data it's never seen before, how do you know it's not wrong, right? So there's about data quality and quality assurance and quality checking around AI. And that's where, especially in scientific research, we use what's starting to be called things like physics-informed or physics-constrained AI, where the neural net that you're using to design an aircraft still has to follow basic physical laws in its output, right? Or if you're doing some materials or astrophysics, you still have to obey conservation of mass, right? So I can't say, well, if you just apply negative mass on this other side and positive mass on this side, everything works out right for stable flight. 'Cause we can't do negative mass, right? So you have to constrain it in the real world. So this notion of how we bring in the laws of physics and constrain your AI to what's possible is also a big part of the sort of AI research going forward. >> You know, Dan, you just, to me just encapsulate the science that's still out there, that's needed. Computer science, social science, material science, kind of all converging right now. >> Yeah, engineering, yeah, >> Engineering, science, >> slipstreams, >> it's all there, >> physics, yeah, mmhmm. >> it's not just code. And, Rajesh, data. You mentioned data, the more data you have, the better the AI. We have a world what's going from silos to open control planes. We have to get to a world. This is a cultural shift we're seeing, what's your thoughts? >> Well, it is, in that, the ability to drive predictive analysis based on the data is going to drive different behaviors, right? Different social behaviors for cultural impacts. But I think the point that Dan made about bias, right, it's only as good as the code that's written and the way that the data is actually brought into the system. So making sure that that is done in a way that generates the right kind of outcome, that allows you to use that in a predictive manner, becomes critically important. If it is biased, you're going to lose credibility in a lot of that analysis that comes out of it. So I think that becomes critically important, but overall, I mean, if you think about the way compute is, it's becoming pervasive. It's not just in selected industries as damage, and it's now applying to everything that you do, right? Whether it is getting you more tailored recommendations for your purchasing, right? You have better options that way. You don't have to sift through a lot of different ideas that, as you scroll online. It's tailoring now to some of your habits and what you're looking for. So that becomes an incredible time-saver for people to be able to get what they want in a way that they want it. And then you look at the way it impacts other industries and development innovation, and it just continues to scale and scale and scale. >> Well, I think the work that you guys are doing together is scratching the surface of the future, which is digital business. It's about data, it's about out all these new things. It's about advanced computing meets the right algorithms for the right purpose. And it's a really amazing operation you guys got over there. Dan, great to hear the stories. It's very provocative, very enticing to just want to jump in and hang out. But I got to do theCUBE day job here, but congratulations on success. Rajesh, great to see you and thanks for coming on theCUBE. >> Thanks for having us, John. >> Okay. >> Thanks very much. >> Great conversation around urgent computing, as computing becomes so much more important, bigger problems and opportunities are around the corner. And this is theCUBE, we're documenting it all here. I'm John Furrier, your host. Thanks for watching. (contemplative music)

>>from around the globe. It's the Cube covering space and cybersecurity. Symposium 2020 hosted by Cal Poly. Yeah, Lauren, Welcome to the Space and Cybersecurity Symposium 2020 put on by Cal Poly and hosted with Silicon Angle acute here in Palo Alto, California for a virtual conference. Couldn't happen in person this year. I'm John for a year. Host the intersection of space and cybersecurity. I'll see critical topics, great conversations. We got a great guest here to talk about the addressing the cybersecurity workforce gap, and we have a great guest, a feature speaker. Stewart Knox, the undersecretary with California's Labor and Workforce Development Office. Stewart Thanks for joining us today. >>Thank you so much, John. Appreciate your time today and listening to a little bit of our quandaries with making sure that we have the security that's necessary for the state of California and making sure that we have the work force that is necessary for cybersecurity in space. >>Great, I'd love to get started. I got a couple questions for you, but first take a few minutes for an opening statement to set the stage. >>Sure, realizing that in California we lead the nation in much of cybersecurity based on Department of Defense contractors within the Santa California leading the nation with over $160 billion within the industry just here in California alone and having over 800,000 bus workers. Full time employment in the state of California is paramount for us to make sure that we face, um, defense manufacturers approximate 700,000 jobs that are necessary to be filled. There's over 37,000 vacancies that we know of in California, just alone in cybersecurity. And so we look forward to making sure that California Workforce Development Agency is leading the charge to make sure that we have equity in those jobs and that we are also leading in a way that brings good jobs to California and to the people of California, a good education system that is developed in a way that those skills are necessarily met for the for the employers here in California and the nation, >>One of the exciting things about California is obviously look at Silicon Valley, Hewlett Packard in the garage, storied history space. It's been a space state. Many people recognize California. You mentioned defense contractors. It's well rooted with with history, um, just breakthroughs bases, technology companies in California. And now you've got technology. This is the cybersecurity angle. Um, take >>them into >>Gets more commentary to that because that's really notable. And as the workforce changes, these two worlds are coming together, and sometimes they're in the same place. Sometimes they're not. This is super exciting and a new dynamic that's driving opportunities. Could you share, um, some color commentary on that dynamic? >>Absolutely. And you're so correct. I think in California we lead the nation in the way that we developed programs that are companies lead in the nation in so many ways around, uh, cyberspace cybersecurity, Uh, in so many different areas for which in the Silicon Valley is just, uh, such a leader in those companies are good qualified companies to do so. Obviously, one of the places we play a role is to make sure that those companies have a skilled workforce. Andi, also that the security of those, uh, systems are in place for our defense contractors onda For the theater companies, those those outlying entities that are providing such key resource is to those companies are also leading on the cutting edge for the future. Also again realizing that we need to expand our training on skills to make sure that those California companies continue to lead is just, um, a great initiative. And I think through apprenticeship training programs on By looking at our community college systems, I think that we will continue to lead the nation as we move forward. >>You know, we've had many conversations here in this symposium, virtually certainly around. The everyday life of consumer is impacted by space. You know, we get our car service Uber lyft. We have maps. We have all this technology that was born out of defense contracts and r and D that really changed generations and create a lot of great societal value. Okay, now, with space kind of on the next generation is easier to get stuff into space. The security of the systems is now gonna be not only paramount for quality of life, but defending that and the skills are needed in cybersecurity to defend that. And the gap is there. What >>can we >>do to highlight the opportunities for career paths? It used to be the day when you get a mechanical engineering degree or aerospace and you graduated. You go get a job. Not anymore. There's a variety of of of paths career wise. What can we do to highlight this career path? >>Absolutely correct. And I think it starts, you know, k through 12 system on. I know a lot of the work that you know, with this bow and other entities we're doing currently, uh, this is where we need to bring our youth into an age where they're teaching us right as we become older on the uses of technology. But it's also teaching, um, where the levels of those education can take them k through 12. But it's also looking at how the community college system links to that, and then the university system links above and beyond. But it's also engage in our employers. You know, One of the key components, obviously, is the employers player role for which we can start to develop strategies that best meet their needs quickly. I think that's one of the comments we hear the most labor agency is how we don't provide a change as fast as we should, especially in technology. You know, we buy computers today, and they're outdated. Tomorrow it's the same with the technology that's in those computers is that those students are going to be the leaders within that to really develop how those structures are in place. S O. K. Through 12 is probably primary place to start, but also continuing. That passed the K 12 system and I bring up the employers and I bring them up in a way, because many times when we've had conversations with employers around what their skills needs were and how do we develop those better? One of the pieces that of that that I think is really should be recognized that many times they recognized that they wanted a four year degree, potentially or five year, six year degree. But then, when we really looked at the skill sets, someone coming out of the community college system could meet those skill sets. And I think we need to have those conversations to make sure not that they shouldn't be continue their education. They absolutely should. Uh, but how do we get those skill sets built into this into 12 plus the two year plus the four year person? >>You know, I love the democratization of these new skills because again. There's no pattern matching because they weren't around before, right? So you gotta look at the exposure to your point K through 12 exposure. But then there's an exploration piece of whether it's community, college or whatever progression. And sometimes it's nonlinear, right? I mean, people are learning different ways, combining the exposure and the exploration. That's a big topic. Can you share your view on this because this now opens up mawr doors for people choice. You got new avenues. You got online clock and get a cloud computing degree now from Amazon and walk in and help. I could be, you know, security clearance, possibly in in college. So you know you get exposure. Is there certain things you see? Is it early on middle school? And then I'll see the exploration Those air two important concepts. Can you unpack that a little bit exposure and exploration of skills? >>Absolutely. And I think this takes place, you know, not only in in the K 12 because somebody takes place in our community colleges and universities is that that connection with those employers is such a key component that if there's a way we could build in internships where experiences what we call on the job training programs apprenticeship training pre apprenticeship training programs into a design where those students at all levels are getting an exposure to the opportunities within the Space and Cybersecurity Avenue. I think that right there alone will start to solve a problem of having 37 plus 1000 openings at any one time in California. Also, I get that there's there's a burden on employers. Thio do that, and I think that's a piece that we have to acknowledge. And I think that's where education to play a larger role That's a place we had. Labor, Workforce, Development Agency, player role With our apprenticeship training programs are pre apprenticeship training programs. I could go on all day of all of our training programs that we have within the state of California. Many of the list of your partners on this endeavor are partners with Employment Training Panel, which I used to be the director of the Brown administration of um, That program alone does incumbent worker training on DSO. That also is an exposure place where ah worker, maybe, you know, you know, use the old adage of sweeping the floors one day and potentially, you know, running a large portion of the business, you know, within years. But it's that exposure that that employee gets through training programs on band. Acknowledging those skill sets and where their opportunities are, is what's valid and important. I think that's where our students we need to play a larger role in the K 12. That's a really thio Get that pushed out there. >>It's funny here in California you're the robotics clubs in high school or like a varsity sport. You're seeing kids exposed early on with programming. But you know, this whole topic of cybersecurity in space intersection around workforce and the gaps and skills is not just for the young. Certainly the young generations gotta be exposed to the what the careers could be and what the possible jobs and societal impact and contributions what they could be. But also it's people who are already out there. You know, you have retraining re Skilling is plays an important role. I know you guys do a lot of thinking on this is the under secretary. You have to look at this because you know you don't wanna have a label old and antiquated um systems. And then a lot of them are, and they're evolving and they're being modernized by digital transformation. So what does the role of retraining and skill development these programs play? Can you share what you guys are working on in your vision for that? >>Absolutely. That's a great question. And I think that is where we play a large role, obviously in California and with Kobe, 19 is we're faced with today that we've never seen before, at least in my 27 years of running program. Similar Thio, of course, in economic development, we're having such a large number of people displaced currently that it's unprecedented with unemployment rates to where we are. We're really looking at How do we take? And we're also going to see industries not return to the level for which they stood at one point in time. Uh, you know, entertainment industries, restaurants, all the alike, uh, really looking at how do we move people from those jobs that were middle skill jobs, topper skilled jobs? But the pay points maybe weren't great, potentially, and there's an opportunity for us to skill people into jobs that are there today. It may take training, obviously, but we have dollars to do that generally, especially within our K 12 and are que 14 systems and our universities. But we really wanna look at where those skill sets are are at currently. And we want to take people from that point in time where they said today, and try to give them that exposure to your point. Earlier question is, how do we get them exposed to a system for which there are job means that pay well with benefit packages with companies that care about their employees? Because that's what our goal is. >>You know. You know, I don't know if you have some visibility on this or ah opinion, but one observation that I've had and talking to whether it's a commercial or public sector is that with co vid uh, there have been a lot of awareness of the situation. We're adequately prepared. There's, um, readiness. But as everyone kind of deals with it, they're also starting to think about what to do. Post covert as we come out of it, Ah, growth strategy for a company or someone's career, um, people starting to have that on the top of their minds So I have to ask you, Is there anything that you see that they say? Okay, certain areas, maybe not doubling down on other areas. We're gonna double down on because we've seen some best practices on a trajectory of value for coming out of co vid with, you know, well, armed skills or certain things because you because that's what a lot of people are thinking right now. It's probably cyber is I mean, how many jobs are open? So you got well, that that's kind of maybe not something double down on here are areas we see that are working. Can you share your current visibility to that dynamic? >>Absolutely. Another great question. One of the key components that we look at Labor Workforce Development Agency. And so look at industries and growth modes and ones that are in decline boats. Now Kobe has changed that greatly. We were in a growth rate for last 78 years. We saw almost every industry might miss a few. You know that we're all in growth in one way or enough, obviously, that has changed. Our landscape is completely different than we saw 67 months ago. So today we're looking at cybersecurity, obviously with 30 plus 1000 jobs cos we're looking at Defense Department contractor is obviously with federal government contracts. We were looking at the supply chains within those we're looking at. Health care, which has always been one, obviously are large one of our large entities that has has grown over the years. But it's also changed with covered 19. We're looking at the way protective equipment is manufactured in the way that that will continue to grow over time. We're looking at the service industry. I mean, it will come back, but it won't come back the way we've seen it, probably in the past, but where the opportunities that we develop programs that we're making sure that the skill sets of those folks are transferrable to other industries with one of the issues that we face constant labor and were forced moment programs is understanding that over the period of time, especially in today's world again, with technology that people skill sets way, don't see is my Parents Day that you worked at a job for 45 years and you retired out of one job. Potentially, that is, that's been gone for 25 years, but now, at the pace for which we're seeing systems change. This is going to continue to amp up. I will stay youth of today. My 12 year old nephew is in the room next door to me on a classroom right now online. And so you know, there. It's a totally different atmosphere, and he's, you know, enjoying actually being in helping learning from on all online system. I would not have been able to learn that way, but I think we do see through the K Through 12 system where we're moving, um, people's interest will change, and I think that they will start to see things in a different way than we have in the past. They were forced systems. We are an old system been around since the thirties. Some even will say prior to the thirties came out of the Great Depression in some ways, and that system we have to change the way we develop our programs are should not be constant, and it should be an evolving system. >>It's interesting a lot of the conversation between the private and public partnerships and industry. You're seeing an agile mind set where it's a growth mindset. It's also reality based mindset and certainly space kind of forces. This conversation with cyber security of being faster, faster, more relevant, more modern. You mentioned some of those points, and with co vid impact the workforce development, it's certainly going to put a lot of pressure on faster learning. And then you mentioned online learning. This has become a big thing. It's not just putting education online per se. There's new touch points. You know you got APS, you got digital. This digital transformation is also accelerating. How do you guys view the workforce development? Because it's going to be open. It's gonna be evolving. There's new data coming in, and maybe kids don't want to stare at a video conference. Is there some game aspect to it? Is there how do you integrate thes new things that are coming really fast? And it's happening kind of in real time in front of our eyes. So I love to get your thoughts on how you guys see that, because it will certainly impact their ability to compete for jobs and or to itself learn. >>I think one of the key components of California's our innovation right and So I think one of the things that we pride ourselves in California is around that, um that said, that is the piece that I think the Silicon Valley and there's many areas in California that that have done the same, um, or trying to do the same, at least in their economy, is to build in innovation. And I think that's part of the K through 12 system with our with our our state universities and our UCS is to be able to bridge that. I think that you we see that within universities, um, that really instill an innovative approach to teaching but also instill innovation within their students. I'm not sure there yet with our fully with our K 12 system. And I think that's a place that either our community colleges could be a bridge, too, as well. Eso that's one component of workforce development I think that we look at as being a key. A key piece you brought up something that's really interesting to me is when you talk about agile on day, one of the things that even in state government on this, is gonna be shocking to you. But we have not been an agile system, Aziz. Well, I think one of the things that the Newsome administration Governor Newsom's administration has brought is. And when I talk about agile systems, I actually mean agile systems. We've gone from Kobol Systems, which are old and clunky, still operating. But at the same time, we're looking at upgrading all of our systems in a way that even our technology in the state of California should be matching the technology that our great state has within our our state. So, um, there in lies. It's also challenges of finding the qualified staff that we need in the state of California for all of our systems and servers and everything that we have. Um, currently. So you know, not only are we looking at external users, users of labor, workforce development, but we're looking at internal users that the way we redevelop our systems so that we are more agile in two different ways. >>You just got me. I triggered with COBOL. I programmed in the eighties with COBOL is only one credit lab in college. Never touched it again. Thank God. But this. But this >>is the >>benefit of cloud computing. I think this is at the heart, and this is the undertone of the conference and symposium is cloud computing. You can you can actually leverage existing resource is whether there legacy systems because they are running. They're doing a great job, and they do a certain work load extremely well. Doesn't make sense to replace what does a job, but you can integrate it in this. What cloud does this is Opening up? Can mawr more and more capabilities and workloads? This is kind of the space industry is pointing to when they say we need people that can code. And that could solve data problems. Not just a computer scientist, but a large range of people. Creative, um, data, science, everything. How does California's workforce solve the needs of America's space industry? This is because it's a space state. How do you see that? Let your workforce meeting those needs. >>Yeah, I think I think it's an investment. Obviously, it's an investment on our part. It's an investment with our college partners. It's an investment from our K 12 system to make sure that that we are allocating dollars in a way through meeting the demand of industry Onda, we do look at industry specific around there needs. Obviously, there's a large one. We wanna be very receptive and work with our employers and our employee groups to make sure that we need that demand. I think it's putting our money where our mouth is and and designing and working with employer groups to make sure that the training meets their needs. Um, it's also working with our employer groups to make sure that the employees are taken care of. That equity is built within the systems, Um, that we keep people employed in California on their able to afford a home, and they're able to afford a life here in California. But it's also again, and I brought up the innovation component. I think it's building an innovation within systems for which they are employers but are also our incoming employees are incumbent workers. And you brought this up earlier. People that already employed and people that are unemployed currently with the skill set that might match up, is how do we bridge those folks into employment that they maybe have not thought about. We have a whole career network of systems out throughout the city, California with the Americans job Centers of California on day will be working, and they already are working with a lot of dislocated workers on day. One of the key components of that is to really look at how do we, um, take what their current skills that might be and then expose them to a system for which we have 37 plus 1000 job openings to Andi? How do we actually get those books employed? It's paying for potentially through those that local Workforce Innovation Opportunity Act, funding for Americans job centers, um, to pay for some on the job, training it Z to be able to pay for work experiences. It's to be able to pay for internships for students, um, to get that opportunity with our employers and also partner with our employers that they're paying obviously a percentage of that, too. >>You know, one of the things I've observed over my, um, career 54 times around the sun is you know, in the old days when I was in college in school, you had career people have longer jobs, as you mentioned. Not like that anymore. But also I knew someone I'm gonna be in line to get that job, maybe nepotism or things of that nature. Now the jobs have no historical thing or someone worked longer in a job and has more seniority. Ah, >>lot of these >>jobs. Stewart don't HAVA requirements like no one's done them before. So the ability for someone who, um, is jumping in either from any college, there's no riel. It's all level set. It's like complete upside down script here. It's not like, Oh, I went to school. Therefore I get the job you could be Anyone could walk into these careers because the jobs air so new. So it's not where you came from or what school you went to or your nationality or gender. The jobs have been democratized. They're not discriminating against people with skills. So this opens up mawr. How >>do you >>see that? Because this really is an opportunity for this next generation to be more diverse and to be mawr contributed because diversity brings expertise and different perspectives. Your thoughts on that? >>Absolutely. And that was one of the things we welcome. Obviously we want to make sure that that everybody is treated equally and that the employers view everyone as employer employer of choice but an employee of choices. Well, we've also been looking at, as I mentioned before on the COVITZ situation, looking at ways that books that are maybe any stuck in jobs that are don't have a huge career pathway or they don't have a pathway out of poverty. I mean, we have a lot of working for people in the state of California, Um, that may now do to cope and lost their employment. Uh, this, you know, Let's let's turn back to the old, you know? Let's try, eliminate, eliminate, eliminate. How do we take those folks and get them employed into jobs that do have a good career pathway? And it's not about just who you knew or who you might have an in with to get that job. It is based on skills, I think, though that said there we need to have a better way to actually match those jobs up with those employers. And I think those are the long, ongoing conversations with those employer groups to make sure that one that they see those skill sets is valid and important. Um, they're helping design this crew sets with us, eh? So that they do match up and that were quickly matching up those close skills. That so that we're not training people for yesterday skills. >>I think the employer angles super important, but also the educators as well. One of the things that was asked in another question by the gas they they said. She said The real question to ask is, how early do you start exposing the next generation? You mentioned K through 12. Do you have any data or insight into or intuition or best practice of where that insertion point is without exposure? Point is, is that middle school is a elementary, obviously high school. Once you're in high school, you got your training. Wheels are off, you're off to the races. But is there a best practice? What's your thoughts? Stewart On exposure level to these kinds of new cyber and technical careers? >>Sure, absolutely. I I would say kindergarten. We San Bernardino has a program that they've been running for a little bit of time, and they're exposing students K through 12 but really starting in kindergarten. One is the exposure Thio. What a job Looks like Andi actually have. I've gone down to that local area and I've had three opportunity to see you know, second graders in a health care facility, Basically that they have on campus, built in on dear going from one workstation as a second grader, Uh, looking at what those skills would be and what that job would entail from a nurse to a Dr Teoh physician's assistant in really looking at what that is. Um you know, obviously they're not getting the training that the doctor gets, but they are getting the exposure of what that would be. Andi, I think that is amazing. And I think it's the right place to start. Um, it was really interesting because I left. This was pre covet, but I jumped on the plane to come back up north. I was thinking to myself, How do we get this to all school district in California, where we see that opportunity, um, to expose jobs and skill sets to kids throughout the system and develop the skill set so that they do understand that they have an opportunity. >>We're here at Cal Poly Space and Cybersecurity Symposium. We have educators. We have, um, students. We have industry and employers and government together. What's your advice to them all watching and listening about the future of work. Let's work force. What can people do? What do you think you're enabling? What can maybe the private sector help with And what are you trying to do? Can you share your thoughts on that? Because we have a range from the dorm room to the boardroom here at this event. Love to get your thoughts on the workforce development view of this. >>Yeah, absolutely. I think that's the mix. I mean, I think it's going to take industry to lead A in a lot of ways, in terms of understanding what their needs are and what their needs are today and what they will be tomorrow. I think it takes education, toe listen, and to understand and labor and workforce development also listen and understand what those needs will look like. And then how do we move systems? How do we move systems quickly? How do we move systems in a way that meets those needs? How do we, uh, put money into systems where the most need is, but also looking at trends? What is that trend going to look like in two years? What does that train gonna look like in five years. But that's again listening to those employers. Um, it's also the music community based organizations. I think, obviously some of our best students are also linked to CBS. And one way or another, it may be for services. It maybe for, uh, faith based. It may be anything, but I think we also need to bring in the CBS is Well, ah, lot of outreach goes through those systems in conjunction with, but I think that's the key component is to make sure that our employers are heard on. But they sit at the table like you said to the boardroom of understanding, and I think bringing students into that so that they get a true understanding of what that looks like a well, um, is a key piece of this. >>So one of the things I want to bring up with you is maybe a bit more about the research side of it. But, um, John Markoff, who was a former New York Times reporter with author of the book What the Dormouse, said It was a book about the counter culture of the sixties and the computer revolution, and really there was about how government defense spending drove the computer revolution that we now saw with Apple and PC, and then the rest is history in California has really participated. Stanford, uh, Berkeley and the University of California School system and all the education community colleges around it. That moment, the enablement. And now you're seeing space kind of bringing that that are a lot of research coming in and you eat a lot of billionaires putting money in. You got employers playing a role. You have this new focus space systems, cybersecurity, defending and making it open and and not congested and peaceful is going to enable quickly new inflection points for opportunities. E want to get your thoughts on that? Because California is participate in drove these revolutions that created massive value This next wave seems to be coming upon us. >>Yeah, absolutely. And again, Nazis covered again as too much of ah starting point to this. But I think that is also an opportunity to actually, because I think one of the things that we were seeing seven months ago was a skill shortage, and we still see the skills shortage, obviously. But I think a key piece to that is we saw people shortage. Not only was it skills shortage, but we didn't have enough people really to fill positions in addition to and I think that people also felt they were already paying the bills and they were making ends meet and they didn't have the opportunities. Thio get additional skills This again is where we're looking at. You know that our world has changed. It changed in the sixties based on what you're you're just expressing in terms of California leading the way. Let's like California lead the way again in developing a system from which labor, workforce development with our universities are, you know, are amazing universities and community college system and structure of how do we get students back into school? You know, a lot of graduates may already have a degree, but how do they now take a skill so that they already have and develop that further with the idea that they those jobs have changed? Whales have a lot of folks that don't have a degree, and that's okay. But how do we make that connection to a system that may have failed? Ah, lot of our people over the years, um, and our students who didn't make it through the school system. How do we develop in adult training school? How do we develop contract education through our community college system with our employer sets that we developed cohorts within those systems of of workers that have amazing talents and abilities to start to fill these needs? And I think that's the key components of hearing Agency, Labor, Workforce Development Agency. We work with our community. Colleges are UCS in our state universities t develop and figure that piece out, and I think it is our opportunity for the future. >>That's such a great point. I want to call that out This whole opportunity to retrain people that are out there because these air new jobs, I think that's a huge opportunity, and and I hope you keep building and investing in those programs. That's that's really worth calling out. Thank you for doing that. And, yeah, it's a great opportunity. Thes jobs they pay well to cyber security is a good job, and you don't really need to have that classical degree. You can learn pretty quickly if you're smart. So again, great call out there question for you on geography, Um, mentioned co vid we're talking about Covic. Virtualization were virtual with this conference. We couldn't be in person. People are learning virtually, but people are starting to relocate virtually. And so one observation that I have is the space state that California is there space clusters of areas where space people hang out or space spaces and whatnot. Then you got, like, the tech community cybersecurity market. You know, Silicon Valley is a talented in these hubs, and sometimes cyber is not always in the same hubs of space. Maybe Silicon Valley has some space here, Um, and some cyber. But that's not generally the case. This is an opportunity potentially to intersect. What's your thoughts on this? Because this is This is something that we're seeing where your space has historical, you know, geography ease. Now, with borderless communication, the work boat is not so much. You have to move the space area. You know what I'm saying? So okay. What's your thoughts on this? How do you guys look at this? Is on your radar On how you're viewing this this dynamic? >>It's absolute on our radar, Like you said, you know, here we are talking virtually on and, you know, 75% of all of our staff currently in some of our department that 80% of our staff are now virtual. Um you know, seven months ago, uh, we were not were government again being slow move, we quickly transitioned. Obviously, Thio being able to have a tele work capacity. We know employers move probably even quickly, more quickly than we did, but we see that as an opportunity for our rural areas. Are Central Valley are north state um, inland Empire that you're absolutely correct. I mean, if you didn't move to a city or to a location for which these jobs were really housed, um, you didn't have an opportunity like you do today. I think that's a piece that we really need to work with our education partners on of to be able to see how much this has changed. Labor agency absolutely recognizes this. We are investing funding in the Central Valley. We're investing funding in the North State and empire to really look a youth populations of how the new capacity that we have today is gonna be utilized for the future for employers. But we also have to engage our universities around. This is well, but mostly are employers. I know that they're already very well aware. I know that a lot of our large employers with, um, Silicon Valley have already done their doing almost 100% tele work policies. Um, but the affordability toe live in rural areas in California. Also, it enables us to have, ah, way thio make products more affordable is, well, potentially in the future. But we want to keep California businesses healthy and whole in California. Of course, on that's another way we can We can expand and keep California home to our 40 plus million people, >>most to a great, great work. And congratulations for doing such a great job. Keep it up. I gotta ask about the governor. I've been following his career since he's been office. A za political figure. Um, he's progressive. He's cutting edge. He likes toe rock the boat a little bit here and there, but he's also pragmatic. Um, you're starting to see government workers starting to get more of a tech vibe. Um um just curious from your perspective. How does the governor look at? I mean, the old, almost the old guard. But like you know, used to be. You become a lawyer, become a lawmaker Now a tech savvy lawmaker is a premium candidates, a premium person in government, you know, knowing what COBOL is. A start. I mean, these are the things. As we transform and evolve our society, we need thinkers who can figure out which side the streets, self driving cars go on. I mean, who does that? I mean, it's a whole another generation off thinking. How does the Governor how do you see this developing? Because this is the challenge for society. How does California lead? How do you guys talk about the leadership vision of Why California and how will you lead the future? >>Absolutely no governor that I'm aware of that I've been around for 26 27 years of workforce development has led with an innovation background, as this governor has a special around technology and the use of technology. Uh, you know, he's read a book about the use of technology when he was lieutenant governor, and I think it's really important for him that we, as his his staff are also on the leading edge of technology. I brought a badge. I'll systems. Earlier, when I was under the Brown administration, we had moved to where I was at a time employment training panel. We moved to an agile system and deported that one of the first within within the state to do that and coming off of an old legacy system that was an antique. Um, I will say it is challenging. It's challenging on a lot of levels. Mostly the skill sets that are folks have sometimes are not open to a new, agile system to an open source system is also an issue in government. But this governor, absolutely. I mean, he has established three Office of Digital Innovation, which is part of California and department technology, Um, in partnership with and that just shows how much he wants. Thio push our limits to make sure that we are meeting the needs of Californians. But it's also looking at, you know, Silicon Valley being at the heart of our state. How do we best utilize systems that already there? How do we better utilize the talent from those those folks is well, we don't always pay as well as they dio in the state. But we do have great benefit packages. Everybody does eso If anybody's looking for a job, we're always looking for technology. Folks is well on DSO I would say that this governor, absolute leads in terms of making sure that we will be on cutting edge of technology for the nation, >>you know, and, you know, talk about pay. I mean, I know it's expensive to live in some parts of California, but there's a huge young population that wants a mission driven job and serving, um, government for the governments. Awesome. Ah, final parting question for you, Stuart, is, as you look at, um, workforce. Ah, lot of people are passionate about this, and it's, you know, you you can't go anywhere without people saying, You know, we got to do education this way and that way there's an opinion everywhere you go. Cybersecurity is a little bit peaked and focused, but there are people who are paying attention to education. So I have to ask you, what creative ways can people get involved and contribute to workforce development? Whether it's stem underrepresented minorities, people are looking for new, innovative ways to contribute. What advice would you give these people who have the passion to contribute to the next cyber workforce. >>Yeah, I appreciate that question, because I think is one of the key components. But my secretary, Julie Sue, secretary of Labor and Workforce Development Agency, talks about often, and a couple of us always have these conversations around. One is getting people with that passion to work in government one or on. I brought it up community based organizations. I think I think so many times, um, that we didn't work with our CBS to the level of in government we should. This administration is very big on working with CBS and philanthropy groups to make sure that thing engagement those entities are at the highest level. So I would say, You know, students have opportunities. Thio also engage with local CBS and be that mission what their values really drives them towards Andi. That gives them a couple of things to do right. One is to look at what ways that we're helping society in one way or another through the organizations, but it also links them thio their own mission and how they could develop those skills around that. But I think the other piece to that is in a lot of these companies that you are working with and that we work with have their own foundations. So those foundations are amazing. We work with them now, especially in the new administration. More than we ever have, these foundations are really starting to help develop are strategies. My secretary works with a large number of foundations already. Andi, when we do is well in terms of strategy, really looking at, how do we develop young people's attitudes towards the future but also skills towards the future? >>Well, you got a pressure cooker of a job. I know how hard it is. I know you're working hard, appreciate you what you do and and we wish you the best of luck. Thank you for sharing this great insight on workforce development. And you guys working hard. Thank you for what you do. Appreciate it. >>Thank you so much. Thistle's >>three cube coverage and co production of the space and cybersecurity supposed in 2020 Cal Poly. I'm John for with silicon angle dot com and the Cube. Thanks for watching

>> Announcer: From around the globe, it's theCUBE! Covering Space and Cybersecurity Symposium 2020. Hosted by Cal Poly. >> Hello everyone. Welcome to the Space and Cybersecurity Symposium 2020, put on by Cal Poly and hosted with SiliconANGLE theCUBE here in Palo Alto, California for a virtual conference. Couldn't happen in person this year, I'm John Furrier, your host. The intersection of space and cybersecurity, obviously critical topics, great conversations. We've got a great guest here to talk about the addressing the cybersecurity workforce gap. And we have a great guest, and a feature speaker, Stewart Knox, the undersecretary with California's Labor and Workforce Development Office. Stewart, thanks for joining us today. >> Thank you so much, John. I appreciate your time today and listening to a little bit of our quandaries with making sure that we have the security that's necessary for the state of California and making sure that we have the workforce that is necessary for cybersecurity in space. >> Great. I'd love to get started. I've got a couple of questions for you, but first take a few minutes for an opening statement to set the stage. >> Sure, realizing that in California, we lead the nation in much of cybersecurity based on Department of Defense contractors within the state of California, leading the nation with over 160 billion dollars within the industry just here in California alone and having over 800,000 plus workers full time employment in the state of California is paramount for us to make sure that we face defense manufacturers, approximately 700,000 jobs that are necessary to be filled. There's over 37,000 vacancies that we know of in California, just alone in cybersecurity. And so we look forward to making sure that California Workforce Development Agency is leading the charge to make sure that we have equity in those jobs and that we are also leading in a way that brings good jobs to California and to the people of California, a good education system that is developed in a way that those skills are necessarily met for the employers here in California, and the nation. >> One of the exciting things about California is obviously look at Silicon Valley, Hewlett Packard and the garage story, history, space, it's been a space state, many people recognize California. You mentioned defense contractors. It's well rooted with history, just breakthroughs, bases, technology companies in California. And now you've got technology. This is the cybersecurity angle. Take a minute to give some more commentary to that because that's really notable, and as the workforce changes, these two worlds are coming together and sometimes they're in the same place, sometimes they're not. This is super exciting and a new dynamic that's driving opportunities. Could you share some color commentary on that dynamic? >> Absolutely. And you're so correct. I think in California, we lead the nation in the way that we develop programs, that our companies lead in the nation in so many ways around cyberspace, cybersecurity in so many different areas, for which in the Silicon Valley is just such a leader and those companies are good, qualified companies to do so. Obviously one of the places we play a role is to make sure that those companies have a skilled workforce. And also that the security of those systems are in place for our defense contractors and for the feeder companies, those outlying entities that are providing such key resources to those companies are also leading on a cutting edge for the future. Also again, realizing that we need to expand our training and skills to make sure that those California companies continue to lead, is just such a great initiative. And I think through apprenticeship training programs, and looking at our community college systems, I think that we will continue to lead the nation as we move forward. >> You know, we've had many conversations here in this symposium virtually, certainly around the everyday life of a consumer is impacted by space. You know, we get our car service, Uber, Lyft, we have maps, we have all this technology that was born out of defense contracts and R and D that really changed generations and created a lot of great societal value. Okay, now with space kind of going to the next generation, it's easier to get stuff into space. The security of the systems is now going to be not only paramount for quality of life, but defending that, and the skills are needed in cybersecurity to defend that. And the gap is there. What can we do to highlight the opportunities for career paths? It used to be the day where you get a mechanical engineering degree or aerospace and you graduate and you go get a job, not anymore. There's a variety of paths, career-wise. What can we do to highlight this career path? >> Absolutely correct. And I think it starts, you know, K through 12 system. And I know a lot of the work that (indistinct) and other entities are doing currently. This is where we need to bring our youth into an age where they're teaching us, right, as we become older, on the uses of technology, but it's also teaching where the levels of those education can take them, K through 12, but it's also looking at how the community college system links to that. And then the university system links above and beyond, but it's also engaging our employers. You know, one of the key components, obviously as the employers play a role, for which we can start to develop strategies that best meet their needs quickly. I think that's one of the comments we hear the most, at Labor Agency is how we don't provide a change as fast as we should, especially in technology. You know, we buy computers today and they're outdated tomorrow. It's the same with the technology that's in those computers is that those students are going to be the leaders within that to really develop how those structures are in place. So K through 12 is probably our primary place to start, but also continuing that past the K-12 system. And I bring up the employers and I bring them up in a way, because many times when we've had conversations with employers around what their skills needs were and how do we develop those better? One of the pieces of that, that I think really should be recognized, many times they recognize that they wanted a four year degree, potentially, or a five year or six year degree. But then when we really looked at the skillsets, someone coming out of the community college system could meet those skillsets. And I think we need to have those conversations to make sure, not that they shouldn't be continuing their education. They absolutely should. But how do we get those skillsets built into this into a K-12 plus the two year plus the four year person? >> Yeah, I love the democratization of these new skills, because again, there's no pattern matching 'cause they weren't around before, right? So you got to look at the exposure, to your point, K through 12 exposure, but then there's an exploration piece of it, whether it's community college or whatever progression, and sometimes it's nonlinear, right? I mean, people are learning different ways, combining the exposure and the exploration. That's a big topic. Can you share your view on this? Because this now opens up more doors for people, choice, you got new avenues, you got online, I can get a cloud computing degree now from Amazon and walk in and help. I can be, you know, security clearance possibly in college. So, you know, you get exposure. Is there certain things you see, is it early on? Middle school? And then obviously the exploration, those are two important concepts. Can you unpack that a little bit, exposure and exploration of skills? >> Absolutely, and I think this takes place not only in the K-12 system, but it takes place in our community colleges and our four year universities is that, that connection with those employers is such a key component, that if there's a way we could build in internships, work experiences, what we call on the job training programs, apprenticeship training, pre-apprenticeship training programs, into a design where those students at all levels are getting an exposure to the opportunities within the space and cybersecurity avenue. I think that right there alone will start to solve a problem of having 37 plus thousand openings at any one time in California. Also, I get that there's a burden on employers to do that. And I think that's a piece that we have to acknowledge, and I think that's where education can play a larger role. That's a place we at Labor Workforce Development Agency play a role with our apprenticeship training programs, our pre-apprenticeship training programs. I could go on all day of all of our training programs that we have within the state of California. Many of the list of your partners on this endeavor are partners with Employment Training Panel, which I used to be the director of the Brown administration of. That program alone does incumbent worker training. And so that also is an exposure place where a worker may be, you know, I use the old adage of sweeping the floors one day and potentially writing a large portion of the business, within years. But it's that exposure that that employee gets through training programs, and acknowledging those skill sets and where their opportunities are, is what's valid and important. I think that's where our students, we need to play a larger role than the K-12 system, really, to get that pushed out there. >> It's funny, here in California, you were the robotics clubs in high school are like a varsity sport, you're seeing kids exposed early on with programming, but it's, you know, this whole topic of cybersecurity and space intersection around workforce, and the gaps in the skills, it's not just for the young, certainly the young generation's got to be exposed to what the careers could be and what the possible jobs and societal impact and contributions, what they could be, but also it's people who are already out there. You know, you have retraining, re-skilling, this plays an important role. I know you guys do a lot of thinking on this as the undersecretary, you have to look at this because you know, you don't want to have a label "old and antiquated" systems. And a lot of them are, and they're evolving and they're being modernized by digital transformation. So what does the role of retraining and skill development for these programs play? Can you share what you guys are working on and your vision for that? >> Absolutely. That's a great question. 'Cause I think that is where we play a large role, obviously in California and with COVID-19 is we are faced with today that we've never seen before. At least in my 27 years of running programs, similar to all workforce and economic development, we are having such a large number of people displaced currently that it's unprecedented, we've got employment rates to where we are. We're really looking at how do we take, and we're also going to see industries not return to the level for which they stood at one point in time, you know, entertainment industries, restaurants, all of the alike, really looking at how do we move people from those jobs that were middle skill jobs to upper skill jobs, but the pay points maybe weren't great, potentially. And there's an opportunity for us to skill people into jobs that are there today. It may take training, obviously, but we have dollars to do that, generally, especially within our K-12 and our K-14 systems and our universities. But we really want to look at where those skillsets are at, currently. And we want to take people from that point in time where they sit today, and try to give them that exposure to your point earlier question is how do we get them exposed to a system for which there are job with means that pay well, with benefit packages, with companies that care about their employees. 'Cause that's what our goal is. >> You know, I don't know if you have some visibility on this or an opinion, but one of the observations that I've had and talk to whether it's a commercial or public sector, is that with COVID, there's been a lot of awareness of the situation. We're adequately prepared. There's some readiness, but as everyone kind of deals with it, they're also starting to think about what to do post-COVID as we come out of it, a growth strategy for a company or someone's career. People are starting to have that on the top of their minds. So I have to ask you, is there anything that you see that they say, "Okay, certain areas, maybe not doubling down on other areas, we're going to double down on because we've seen some best practices on a trajectory of value for coming out of COVID with, you know, well-armed skills or certain things." 'Cause that's what a lot of people are thinking right now. And certainly cyber is, I mean, how many jobs are open? So you got "Well that that's kind of maybe not something to double down on, here are areas we see that are working." Can you share your current visibility into that dynamic? >> Absolutely. Another great question. One of the key components that we look at at Labor Workforce Development Agency is to look at the industries in growth modes and ones that are in decline modes. Now COVID has changed that greatly. We were in a growth mode for the last seven, eight years. We saw almost every industry, minus a few, that were all in growth in one way or another, but obviously that has changed. Our landscape is completely different than we saw six, seven months ago. So today we're looking at cybersecurity, obviously with 30 plus thousand job openings, we are looking at Defense Department contractors, obviously, with federal government contracts. We are looking at the supply chains within those. We are looking at healthcare, which has always been one of obviously our large, one of our large entities that has grown over the years. But it's also changed with COVID-19. We're looking at the way protective equipment is manufactured and the way that that will continue to grow over time, we're looking at the service industry. I mean, it will come back, but it won't come back the way we've seen it probably in the past, but where are the opportunities that we develop programs that we are making sure that the skill sets of those folks are transferable to other industries. We have one of the issues that we face constantly in Labor and Workforce Development programs is understanding that over the period of time, especially in today's world, again, with technology, that people's skillsets, we don't see as in my parents' day that you worked at a job for 45 years and you retired at one job potentially. That's been gone for 25 years, but now at the pace for which we are seeing systems change, this is going to continue to amp up, and I will say, youth of today, my 12 year old nephew is in the room next door to me, in a classroom right now online. And so, you know, it's a totally different atmosphere and he's enjoying actually being at home and learning from an all online system. I would not have been able to learn that way, but I think we do see through the K through 12 system, the way we're moving, people's interests will change. And I think that they will start to see things in a different way than we have in the past. They were forced systems. We are an old system, been around since the 30s. Some even we'll say prior to the 30s, came out of the Great Depression in some ways. And that system, we have to change the way we develop our programs. It should not be constant and it should be an evolving system. >> It's interesting. A lot of the conversations between the private and public partnerships and industry, you're seeing an agile mindset where it's a growth mindset, it's also a reality-based mindset and certainly space kind of forces this conversation with cybersecurity of being faster, faster, more relevant, more modern. And you mentioned some of those points, and with COVID impact, the workforce development is certainly going to put a lot of pressure on faster learning. And then you mentioned online learning. This has become a big thing. It's not just putting education online per se. There's new touchpoints. You know, you've got apps, you've got digital. This digital transformation is also accelerating. How do you guys view the workforce development? Because it's going to be open. It's going to be evolving. There's new data coming in and maybe kids don't want to stare at a video conference. Is there some game aspect to it? Is there, how do you integrate these new things that are coming really fast, and it's happening kind of in real time in front of our eyes. So I'd love to get your thoughts on how you guys see that because it'll certainly impact their ability to compete for jobs and/or to self-learn. >> Well, I think one of the key components of California is our innovation, right? And so I think one of the things that we pride ourselves in California is around that. That said, that is the piece that I think the Silicon Valley, and then there's many areas in California that have done the same, or tried to do the same, at least in their economy is to build in innovation. And I think that's part of the K through 12 system, with our state universities and our UCs is to be able to bridge that. I think that you, we see that within universities that really instill an innovative approach to teaching, but also instill innovation within their students. I'm not sure we're there yet fully, with our K-12 system, and I think that's a place that either our community colleges could be a bridge to as well. So that's one component of workforce development I think that we look at as being a key piece. You brought up something that's really interesting to me is when you talk about agile, and one of the things that even in state government, this is going to be shocking to you, but we have not been an agile system as well. I think one of the things that the Newsom administration, Governor Newsom's administration has brought is, and when I talk about agile systems, I actually mean agile systems. We've gone from COBOL systems, which are old and clunky, still operating, but at the same time, we're looking at upgrading all of our systems in a way that even in our technology, in the state of California should be matching, the technology that our great state has within our state. So therein lies, it's also challenges of finding the qualified staff that we need in the state of California for all of our systems and servers and everything that we have currently. So, you know, not only are we looking at external users of labor workforce development, but we're looking at internal users, that the way we redevelop our systems so that we are more agile in two different ways. >> You just got me triggered with COBOL. I programmed in the 80s with COBOL, only one credit lab in college. Never touched it again, thank God. But this is the benefit of cloud computing. I think this is at the heart and this is the undertone of the conference and symposium is cloud computing, you can actually leverage existing resources, whether they're legacy systems, because they are running, they're doing a great job and they do a certain workload extremely well. Doesn't make sense to replace if it does a job. You can integrate it and that's what cloud does. This is opening up more and more capabilities and workloads. This is kind of what the space industry is pointing to when they say "We need people that can code and that can solve data problems," not just the computer scientists, but a large range of people, creative, data, science, everything. How does California's workforce solve the needs of America's space industry? This is because it's a space state. How do you see the labor workforce meeting those needs? >> Yeah, I think it's an investment. Obviously it's an investment on our part. It's an investment with our college partners. It's an investment from our K-12 system to make sure that we are allocating dollars in a way through meeting the demand of industry. And we do look at industry-specific around their needs, obviously this is a large one. We want to be very receptive, and work with our employers and our employee groups to make sure that we meet that demand. I think it's putting our money where our mouth is and designing and working with employer groups to make sure that the training meets their needs. It's also working with our employer groups to make sure that the employees are taken care of and that equity is built within the systems, that we keep people employed in California, and they're able to afford a home and they're able to afford a life here in California, but it's also again and I brought up the innovation component. I think it's building an innovation within systems for which they are employers, but are also our incoming employees and our incumbent workers. And you brought those up earlier, people that are already employed and people that are unemployed currently with a skill set that might match up is how do we bridge those folks into employment that they maybe have not thought about? We have a whole career network of systems out throughout The City of California with the America's Job Centers of California, and they will be working, and they already are working with a lot of dislocated workers. And one of the key components of that is to really look at how do we take what their current skillset might be, and then expose them to a system for which we have 37 plus thousand job openings, too, and how do we actually get those folks employed? It's paid for potentially through that local Workforce Innovation and Opportunity Act funding through our America's Job Centers, to pay for some on the job training. It's to be able to pay for work experiences, it's to be able to pay for internships for students to get that opportunity with our employers and also partnering with our employers that they're paying, obviously a percentage of that too. >> You know, one of the things I've observed over my career, 54 times around the sun is, you know, in the old days, when I was in college and school, you had career, people had the longer jobs, as you mentioned it's not like that anymore. But also I knew someone I'm going to to be in line to get that job, maybe nepotism or things of that nature. Now the jobs have no historical thing or someone worked longer in a job and has more seniority. A lot of these jobs, Stewart, don't have requirements, like no one's done them before. So the ability for someone who is jumping in, either from any college, there's no real, it's all level set, it's a complete upside down script here. It's not like, "Oh, I went to school, therefore I get the job." It can be, anyone can walk into these careers because the jobs are so new. So it's not where you came from or what school you went to or your nationality or gender. The jobs have been democratized. They're not discriminating against people with skills. This opens up more. How do you see that? Because this really is an opportunity for this next generation to be more diverse and to be more contributive because diversity brings expertise and different perspectives. Your thoughts on that. >> Absolutely, and that was one of the things we welcome, obviously. We want to make sure that that everybody is treated equally and that the employers view everyone as an employer of choice, but an employee of choice as well. We've also been looking at, as I mentioned before on the COVID situation, looking at ways that folks that are maybe stuck in jobs that don't have a huge career pathway, or they don't have a pathway out of poverty. I mean, we have a lot of working poor people in the state of California that may now due to COVID lost their employment. This, you know, let's turn back to the old adage, let's turn lemons into lemonade. How do we take those folks and get them employed into jobs that do have a good career pathway? And it's not about just who you knew, or who you might have an in with to get that job. It is based on skills. I think though, that said, we need to have a better way to actually match those jobs up with those employers. And I think those are the ongoing conversations with those employer groups to make sure that, one, that they see those skill sets as valid and important. They're helping design those career sets with us so that they do match up and that we're quickly matching up those close skillsets so that we're not training people for yesterday's skills. >> I think the employer angle's super important, but also the educators as well. One of the things that was asked in another question by the guest, they said, she said, the real question to ask is, how early do you start exposing the next generation? You mentioned K through 12, do you have any data or insight into or intuition or best practice of where that insertion point is, that exposure point? Is it middle school? Is it elementary, honestly, high school, once you're in high school, you got your training wheels are off, you're off to the races, but is there a best practice? What's your thoughts, Stewart, on exposure level to these kinds of new cyber and technical careers? >> Sure, absolutely. I would say kindergarten. We, San Bernardino has a program that they've been running for a little bit of time, and they're exposing students K through 12, but really starting in kindergarten. One is the exposure to what a job looks like. And then actually I've gone down to that local area and I've had the opportunity to see, you know, second graders in a healthcare facility, basically, that they have on campus built-in. And they're going from one workstation as a second grader, looking at what those skills would be and what that job would entail from a nurse to a doctor, to a physician's assistant, and really looking at what that is. You know, obviously they're not getting the training that a doctor gets, but they are getting the exposure of what that would be. And I think that is amazing. And I think it's the right place to start. It was really interesting 'cause as I left, this was pre-COVID, but as I jumped on the plane to come back up north, I was thinking to myself, "How do we get this to all school districts in California where we see that opportunity to expose jobs and skill sets to kids throughout the system and develop those skill sets so that they do understand that they have an opportunity?" >> We are here at Cal Poly Space and Cybersecurity Symposium. We have educators, we have students, we have industry and employers and government together. What's your advice to them all watching and listening about the future of work, this workforce, what can people do? What do you think you're enabling? What can maybe the private sector help with and what are you trying to do? Can you share your thoughts on that? Because we have a range from the dorm room to the boardroom here at this event. I'd love to get your thoughts on the workforce development view of this. >> Yeah, absolutely. And I think that's the mix. I mean, I think it's going to take industry to lead, in a lot of ways in terms of understanding what their needs are and what their needs are today and what they will be tomorrow. I think it takes education to listen, and to understand, and labor and workforce development to also listen and understand what those needs will look like. And then how do we move systems? How do we move systems quickly? How do we move systems in a way that meets those needs? How do we put money into systems where the most need is, but also looking at trends? What is that trend going to look like in two years? What is that trend going to look like in five years, (indistinct), again, listening to those employers, it's also listening to the community-based organizations. I think obviously some of our best students are also linked to CBOs in one way or another. It may be for services, it may be for faith-based, it may be anything, but I think we also need to bring in the CBOs as well. A lot of outreach goes through those systems in conjunction with, but I think that's the key component is to make sure that our employers are heard and that they sit at the table, like you said, to the boardroom of understanding, and I think bringing students into that so that they get a true understanding of what that looks like as well, is a key piece of this. >> Stu, one of the things I want to bring up with you is maybe a little bit more about the research side of it, but John Markoff, who was a former New York times reporter, but author of the book, "What the Dormouse Said," it was a book about the counterculture of the 60s and the computer revolution. And really it was about how government defense spending drove the computer revolution that we now saw with Apple and PC. And then the rest is history in California, has really participated, Stanford, the Berkeley, and the University of California school system, and all the education community colleges around it. That moment, the enablement, and now you're seeing space kind of bringing that, a lot of research coming in, need a lot of billionaires putting money in, you've got employers playing a role. You have this new focus, space systems, cybersecurity defending and making it open and, not congested and peaceful, is going to enable quickly, new inflection points for opportunities. I want to get your thoughts on that because California's participated and drove those revolutions, that's created massive value. This next wave seems to be coming upon us. >> Yeah, absolutely. And again, not to use COVID again as too much of a starting point to this, but I think that is also an opportunity to actually, 'cause I think one of the things that we were seeing seven months ago was a skill shortage, and we still see the skill shortage, obviously. But I think a key piece to that is we saw a people shortage. Not only was it skill shortage, but we didn't have enough people really to fill positions in addition, too, and I think that people also felt they were already paying the bills and they were making ends meet and they didn't have the opportunities to get additional skills. This again is where we're looking at, you know, our world has changed. It changed in the 60s based on what you're just expressing in terms of California leading the way. Let's let California lead the way again in developing a system for which labor workforce development with our universities, our amazing universities and community college system structure, of how do we get students back into school? You know, a lot of graduates may already have a degree, but how do they now take a skill set that they already have and develop that further with the idea that those jobs have changed? We also have a lot of folks that don't have a degree, and that's okay, but how do we make that connection to a system that may have failed a lot of our people over the years, and our students who didn't make it through the school system, how do we develop an adult training school? How do we develop contract education through our community college system with our employer sets, that we develop cohorts within the systems of workers that have amazing talents and abilities to start to fill these needs. And I think that's the key components that here at Labor Workforce Development Agency, we work with our community colleges, our UCs and our state universities to develop and figure that piece out. And I think it is our opportunity for the future. >> That's such a great point. I want to call that out, this whole opportunity to retrain people that are out there because these are new jobs. I think that's a huge opportunity and, I hope you keep building and investing in those programs. That's really worth calling out. Thank you for doing that. And yeah, it's a great opportunity to gain these jobs. They pay well, too, cybersecurity's a good job and you don't really need to have that classical degree. You can learn pretty quickly if you're smart. So again, great call out there. A question for you on geography. You mentioned COVID, we're talking about COVID, virtualization, we're virtual with this conference. We couldn't be in person. People are learning virtually, but people are starting to relocate virtually. And so one observation that I have is the space state that California is, there's space clusters of areas where space people hang out, or space spaces and whatnot. Then you got like the tech community, the cybersecurity market, you know, Silicon Valley, you know, the talent is in these hubs. And sometimes cyber's not always in the same hubs as space. Maybe Silicon Valley has some space here, and some cyber, but that's not generally the case. This is an opportunity potentially to intersect. What's your thoughts on this? Because this is something that we're seeing, where space has historical, you know, geographies. Now with borderless communication, the work mode is not so much "You have to move to this space area." You know what I'm saying? So what's your thoughts on this? How do you guys look at, this is on your radar, and how you're viewing this dynamic. >> It's absolutely on our radar. Like you said, you know, here we are, talking virtually, and you know, 75% of all of our staff currently, in some of our departments, it's 80% of our staff, are now virtual. Seven months ago, we were not. Government, again, being slow move, we quickly transitioned, obviously, to being able to have a telework capacity. We know employers moved probably even more quickly than we did, but we see that as an opportunity for our rural areas, our Central Valley, our Northstate, Inland Empire. That you're absolutely correct. I mean, if you didn't move to a city or to a location for which these jobs were really housed, you didn't have an opportunity like you do today. I think that's a piece that we really need to work with our education partners on, to be able to see how much this has changed. Labor Agency absolutely recognizes this. We are investing funding in the Central Valley. We're investing funding in the Northstate and Inland Empire to really look at youth populations, of how the new capacity that we have today is going to be utilized for the future for employers. But we also have to engage our universities around this as well, but mostly our employers. I know that they're already very well aware. I know that a lot of our large employers within Silicon Valley have already done it. They're doing almost 100% telework policies, but the affordability to live in rural areas in California, also enables us to have a way to make products more affordable as well, potentially in the future. But we want to keep California businesses healthy and whole in California, of course. And that's another way we can expand and keep California home to our 40 plus million people. >> Well Stewart, great work and congratulations for doing such a great job. Keep it up. I got to ask you about the governor. I've been following his career since he's been in office as a political figure. He's progressive, he's cutting edge. He likes to rock the boat a little bit here and there, but he's also pragmatic. You're starting to see government workers starting to get more of a tech vibe. Just curious from your perspective, how does the governor look at, I mean, the old, I won't say "old guard," but like, you know, it used to be, you become a lawyer, you become a lawmaker. Now a tech savvy lawmaker is a premium candidate, is a premium person in government. Knowing what COBOL is, is a start. I mean, these are the things that as we transform and evolve our society, we need thinkers who can figure out which side of the streets self driving cars go on. I mean, who does that? It's a whole nother generation of thinking. How does the governor, how do you see this developing? Because this is the challenge for society. How does California lead? How do you guys talk about the leadership vision of why California and how will you lead the future? >> Absolutely. No governor that I'm aware of, and I've been around for 26, 27 years of workforce development, has led with an innovation background as this governor has, especially around technology and the use of technology. You know, he's wrote a book about the use of technology when he was lieutenant governor. And I think it's really important for him that we, as his staff are also on the leading edge of technology. I brought up agile systems earlier. When I was under the Brown administration, we had moved to where I was at the time, Employment Training Panel, we moved to an agile system and deployed that. One of the first within the state to do that and coming off of an old legacy system that was an antique. I will say it is challenging. It's challenging on a lot of levels. Mostly the skill sets that our folks have, sometimes are not open to a new agile system, to an open source system is also an issue in government. But this governor absolutely, I mean, he has established the Office of Digital Innovation, which is part of California Department of Technology, in partnership with, and that just shows how much he wants to push our limits to make sure that we are meeting the needs of Californians. But it's also looking at, you know, Silicon Valley being at the heart of our state, how do we best utilize systems that are already there? How do we better utilize the talent from those folks as well? We don't always pay as well as they do in the state, but we do have great benefit packages, everybody knows. So if anybody's looking for a job, we're always looking for technology folks as well. And so I would say that this governor absolutely leads in terms of making sure that we will be on cutting edge technology for the nation. >> And, you know, talk about pay, I mean, I know it's expensive to live in some parts of California, but there's a huge young population that wants a mission-driven job, and serving the government for the government, it's awesome. A final parting question for you, Stewart, is as you look at the workforce, a lot of people are passionate about this and it's, you know, you can't go anywhere without people saying, you know, "We've got to do education this way, and that way," there's an opinion everywhere you go. Cybersecurity, obviously a little bit peaked and focused, but there are people who are paying attention to education. So I have to ask you what creative ways can people get involved and contribute to workforce development, whether it's STEM, underrepresented minorities, people are looking for new, innovative ways to contribute. What advice would you give these people who have the passion to contribute to the next cyber workforce? >> Yeah, I appreciate that question because I think it's one of the key components that my secretary, Julie Su, secretary of Labor and Workforce Development Agency, talks about often. And a couple of us always have these conversations around one is getting people with that passion to work in government, one, or, and I brought it up community-based organizations. I think so many times that we didn't work with our CBOs to the level that in government, we should, this administration is very big on working with CBOs and philanthropy groups to make sure that the engagement of those entities are at the highest level. So I would say, students have opportunities to also engage with local CBOs and be that mission, what their values really drives them towards. And that gives them a couple of things to do, right? One is to look at ways that we're helping society in one way or another through those organizations, but it also links them to their own mission and how they can develop those skills around that. But I think the other piece to that is in a lot of these companies that you are working with and that we work with, have their own foundations. So those foundations are amazing. We work with them now, especially in the Newsom administration, more than we ever have. These foundations are really starting to help develop our strategies. My secretary works with a large number of foundations already, and we do as well in terms of strategy, really looking at how do we develop young people's attitudes towards the future, but also skills towards the future? >> Well, you got a pressure cooker of a job. I know how hard it is. I know you're working hard and appreciate what you do. And, and we wish you the best of luck, thank you for sharing this great insight on workforce development. And you guys are working hard. Thank you for what you do. Appreciate it. >> Great. Thank you so much. I appreciate it. >> This is theCUBE coverage and co-production of the Space and Cybersecurity Symposium 2020 with Cal Poly. I'm John Furrier with siliconangle.com and theCUBE. Thanks for watching. (calm music)

from the cube studios in Palo Alto in Boston connecting with thought leaders all around the world this is a cube conversation hello and welcome to the cube conversation here in the Palo Alto studio I'm John four host of the cube we are here at the quarantine crew of the cube having the conversations that matter the most now and sharing that with you got a great guest here Phil Quaid was the chief information security officer of Fortinet also the author of book digital bing-bang which I just found out he wrote talking about the difference cybersecurity and the physical worlds coming together and we're living that now with kovat 19 crisis were all sheltering in place Phil thank you for joining me on this cube conversation so I want to get in this quickly that I think the main top thing is that we're all sheltering in place anxiety is high but people are now becoming mainstream aware of what we all in the industry have been known for a long time role of data cybersecurity access to remote tools and we're seeing the work at home the remote situation really putting a lot of pressure on as I've been reporting what I call at scale problems and one of them is security right one of them is bandwidth we're starting to see you know the throttling of the packets people are now living with the reality like wow this is really a different environment but it's been kind of a disruption and has created crimes of opportunity for bad guys so this has been a real thing everyone's aware of it across the world this is something that's now aware on everyone's mind what's your take on this because you guys are fighting the battle and providing solutions and we're doing for a long time around security this highlights a lot of the things in the surface area called the world with what's your take on this carbon 19 orton s been advocating for architectures and strategies that allow you to defend anywhere from the edge through the core all the way up to the cloud boom so with you know high speed and integration and so all the sudden what we're seeing not just you know in the US but the world as well is that that edge is being extended in places that we just hadn't thought about or our CV that people just hadn't planned for before so many people or telecommunication able to move that edge securely out to people's homes and more remote locations and do so providing the right type of security of privacy if those communications that are coming out of those delicate ears I noticed you have a flag in the background and for the folks that might not know you spent a lot of time at the NSA government agency doing a lot of cutting-edge work I mean going back to you know really you know post 9/11 - now you're in the private sector with Fortinet so you don't really speak with the agency but you did live through a time of major transformation around Homeland Security looking at data again different physical thing you know terrorist attacks but it did bring rise to large-scale data to bring to those things so I wanted to kind of point out I saw the flag there nice nice touch there but now that you're in the private sector it's another transformation it's not a transition we're seeing a transformation and people want to do it fast and they don't want to have disruption this is a big problem what's your reaction to that yeah I think what you're reporting out that sometimes sometimes there's catalysts that cause major changes in the way you do things I think we're in one of those right now that we're already in the midst of an evolutionary trend towards more distributed workforces and as I mentioned earlier doing so with the right type of security privacy but I would think what I think the global camp in debt endemic is showing is that we're all going to be accelerating that that thing is like it's gonna be a lot less evolutionary and a little bit more faster that's what happens when you have major world events like this being 911 fortunate tragedies it causes people to think outside the box or accelerate what they're already doing I think wearing that in that world today yeah it pulls forward a lot of things that are usually on the planning side and it makes them reality I want to get your thoughts because not only are CEOs and their employees all thinking about the new work environment but the chief information security officer is people in your role have to be more aware as more things happening what's on the minds of CISOs around the world these days obviously the pandemics there what are you seeing what are some of the conversations what are some of the thought processes what specifically is going on in the of the chief information security officer yeah I think there's probably a there's probably two different two different things there's the there's the emotional side and there's the analytic side on the emotional side you might say that some Caesars are saying finally I get to show how cyber security can be in an abler of business right I can allow you to to to maintain business continuity by allowing your workers to work from home and trying sustain business and allow you to keep paying their salary is very very important to society there's a very important time to step up as the seaso and do what's helpful to sustain mission in on the practical side you say oh my goodness my job's gotten a whole lot harder because I can rely less and less on someone's physical controls that use some of the physical benefits you get from people coming inside the headquarters facility through locked doors and there's personal congress's and personal identification authentication you need to move those those same security strategies and policies and you need to move it out to this broad eggs it's gotten a lot bigger and a lot more distributed so I want to ask you around some of the things they're on cyber screws that have been elevated to the top of the list obviously with the disruption of working at home it's not like an earthquake or a tornado or hurricane or flood you know this backup and recovery for that you know kind of disaster recovery this has been an unmitigated disaster in the sense of it's been unfor casted I was talking to an IT guy he was saying well we provisioned rvv lands to be your VPNs to be 30% and now they need a hundred percent so that disruption is causing I was an under forecast so in cyber as you guys are always planning in and protecting has there been some things that have emerged that are now top of mind that are 100 percent mindshare base or new solutions or new challenges why keep quite done what we're referring to earlier is that yep any good see so or company executive is going to prepare for unexpected things to a certain degree you need it whether it be spare capacity or the ability to recover from something an act of God as you mentioned maybe a flood or tornado or hurricane stuff like that what's different now is that we have a disruption who which doesn't have an end date meaning there's a new temporal component that's been introduced that most companies just can't plan for right even the best of companies that let's say Ronald very large data centers they have backup plans where they have spare fuel to run backup generators to provide electricity to their data centers but the amount of fuel they have might only be limited to 30 days or so it's stored on-site we might think well that's pretty that's a lot of for thinking by storing that much fuel on site for to allow you to sort of work your way through a hurricane or other natural disaster what we have now is a is a worldwide crisis that doesn't have a 30-day window on it right we don't know if it's gonna be 30 days or 120 days or or you know even worse than that so what's different now is that it's not just a matter of surging in doing something with band-aids and twine or an extra 30 days what we need to do is as a community is to prepare solutions that can be enduring solutions you know I have some things that if the absent I might like to provide a little color what those types of solutions are but that that would be my main message that this isn't just a surge for 30 days this is a surge or being agile with no end in sight take a minute explain some of those solutions what are you seeing whatever specific examples and solutions that you can go deeper on there yeah so I talked earlier about the the edge meaning the place where users interact with machines and company data that edge is no longer at the desktop down the hallway it could be 10 miles 450 miles away to where anyone where I'm telling you I'm commuting crumb that means we need to push the data confidentiality things out between the headquarters and the edge you do that with things like a secure secured tunnel it's called VPNs you also need to make sure that the user identification authentication this much is a very very secure very authentic and with high integrity so you do that with multi-factor authentication there's other things that we like that that are very very practical that you do to support this new architecture and the good news is that they're available today in the good news at least with some companies there already had one foot in that world but as I mentioned earlier not all companies had yet embraced the idea of where you're going to have a large percentage of your workforce - until a community so they're not quite so they're there they're reacting quickly to to make sure this edge is better protected by identification and authentication and begins I want to get to some of those edge issues that now translate to kind of physical digital virtualization of of life but first I want to ask you around operational technology and IT OT IT these are kind of examples where you're seeing at scale problem with the pandemic being highlighted so cloud providers etc are all kind of impacted and bring solutions to the table you guys at Foot are doing large scale security is there anything around the automation side of it then you've seen emerge because all the people that are taking care of being a supplier in this new normal or this crisis certainly not normal has leveraged automation and data so this has been a fundamental value proposition that highlights what we call the DevOps movement in the cloud world but automation has become hugely available and a benefit to this can you share your insights into how automation is changing with cyber I think you up a nice question for me is it allowed me to talk about not only automation but convergence so it's let's hit automation first right we all even even pre-crisis we need to be better at leveraging automation to do things that machines do best allow people to do higher-order things whether it's unique analysis or something else with a with a more distributed workforce and perhaps fewer resources automation is more important ever to automatically detect bad things that are about to happen automatically mitigating them before they get or they get to bad you know in the cybersecurity world you use things like agile segmentation and you use like techniques called soar it's a type of security orchestration and you want to eat leverage those things very very highly in order to leverage automation to have machines circum amount of human services but you also brought up on my favorite topics which is ot graceful technology though OTS you know are the things that are used to control for the past almost a hundred years now things in the physical world like electric generators and pipes and valves and things like that often used in our critical infrastructures in my company fort net we provide solutions that secure both the IT world the traditional cyber domain but also the OT systems of the world today where safety and reliability are about most important so what we're seeing with the co19 crisis is that supply chains transportation research things like that a lot of things that depend on OT solutions for safety and reliability are much more forefront of mine so from a cybersecurity strategy perspective what you want to do of course is make sure your solutions in the IT space are well integrated with you solutions in the OT space to the so an adversary or a mistake in cause a working to the crack in causing destruction that convergence is interesting you know we were talking before you came on camera around the fact that all these events are being canceled but that really highlights the fact that the physical spaces are no longer available the so-called ot operational technologies of events is the plumbing the face-to-face conversations but everyone's trying to move to digital or virtual eyes that it's not as easy as just saying we did it here we do it there there is a convergence and some sort of translation this new there's a new roles there's new responsibilities new kinds of behaviors and decision making that goes on in the physical and digital worlds that have to then come together and get reimagined and so what's your take on all this because this is not so much about events but although that's kind of prime time problem zooming it is not the answer that's a streaming video how do you replicate the value of physical into the business value in digital it's not a one-to-one so it's quite possible that that we might look back on this event to cover 19 experience we might look back at it in five or ten years and say that was simply a foreshadowing of our of the importance of making sure that our physical environment is appropriate in private what I mean is that with the with the rapid introduction of Internet of Things technologies into the physical world we're going to have a whole lot of dependencies on the thing inconveniences tendencies inconveniences on things an instrument our physical space our door locks or automobiles paths our temperatures color height lots of things to instrument the physical space and so there's gonna be a whole lot of data that's generated in that cyber in a physical domain increasingly in the future and we're going to become dependent upon it well what happens if for whatever reason in the in the future that's massively disruptive so all of a sudden we have a massive disruption in the physical space just like we're experiencing now with open 19 so again that's why it makes sense now to start your planning now with making sure that your safety and reliability controls in the physical domain are up to the same level security and privacy as the things in your IT delete and it highlights what's the where the value is to and it's a transformation I was just reading an article around spatial economics around distance not being together it's interesting on those points you wrote a book about this I want to get your thoughts because in this cyber internet or digital or virtualization of physical to digital whether it's events or actual equipment is causing people to rethink architectures you mentioned a few of them what's the state of the art thinking around someone who has the plan for this again is in its complex it's not just creating a gateway or a physical abstraction layer of software between two worlds there's almost a blending or convergence here what's your what's your thoughts on what's the state of the art thinking on this area yeah the book that I number of a very esteemed colleagues contribute to what we said is that it's time to start treating cybersecurity like a science let's not pretend it's a dark art that we have to relearn every couple years and what what we said in the in the digital Big Bang is that humankind started flourishing once we admitted our ignorance in ultimately our ignorance in the physical world and discovered or invented you can right word the disciplines of physics and chemistry and once we recognize that our physical world was driven by those scientific disciplines we started flourishing right the scientific age led to lots of things whether it would be transportation health care or lots of other things to improve our quality of life well if you fast forward 14 billion years after that cosmic Big Bang which was driven by physics 50 years ago or so we had a digital Big Bang where there was a massive explosion of bits with the invention of the internet and what we argue in the book is that let's start treating cybersecurity like a science or the scientific principle is that we ought to write down and follow a Rousseau's with you so we can thrive in the in the in a digital Big Bang in the digital age and one more point if you don't mind what we what we noted is that the internet was invented to do two things one connect more people or machines than ever imagined in to do so in speeds that were never imagined so the in the Internet is is optimized around speed in connectivity so if that's the case it may be a fundamental premise of cybersecurity science is make sure that your cyber security solutions are optimized around those same two things that the cyber domains are optimized around speed in integration continue from there you can you can build on more and more complex scientific principles if you focus on those fundamental things and speed and integration yeah that's awesome great insight they're awesome I wanted to throw in while you had the internet history lesson down there also was interesting was a very decentralization concept how does that factor in your opinion to some of the security paradigms is that helped or hurt or is it create opportunities for more secure or does it give the act as an advantage yeah I love your questions is your it's a very informed question and you're in a give me good segue to answer the way you know it should be answer yeah the by definition the distributed nature of the Internet means it's an inherently survivable system which is a wonderful thing to have for a critical infrastructure like that if one piece goes down the hole doesn't go down it's kind of like the power grid the u.s. the u.s. electrical power grid there's too many people who say the grid will go down well that's that's just not a practical thing it's not a reality thing the grades broken up into three major grades and there's AB ulis strategies and implementations of diversification to allow the grid to fail safely so it's not catastrophic Internet's the same thing so like my nipple like I was saying before we ought to de cyber security around a similar principle that a catastrophic failure in one partner to start cybersecurity architecture should result in cascading across your whole architecture so again we need to borrow some lessons from history and I think he bring up a good one that the internet was built on survivability so our cybersecurity strategies need to be the same one of the ways you do that so that's all great theory but one of the ways you do that of course is by making your cybersecurity solutions so that they're very well integrated they connect with each other so that you know speaking in cartoon language you know if one unit can say I'm about to fail help me out and another part of your architecture can pick up a slack and give you some more robust security in that that's what a connected the integrated cyber security architecture do for you yeah it's really fascinating insight and I think resiliency and scale are two things I think are going to be a big wave is going to be added into the transformations that going on now it's it's very interesting you know Phil great conversation I could do a whole hour with you and do a fish lead a virtual panel virtualize that our own event here keynote speech thanks so much for your insight one of things I want to get your thoughts on is something that I've been really thinking a lot lately and gathering perspectives and that is on biosecurity and I say biosecurity I'm referring to covet 19 as a virus because biology involves starting a lab or some people debate all that whether it's true or not but but that's what people work on in the biology world but it spreads virally like malware and has a similar metaphor to cybersecurity so we're seeing conversation starting to happen in Washington DC in Silicon Valley and some of my circles around if biology weapon or it's a tool like open-source software could be a tool for spreading cybersecurity Trojans or other things and techniques like malware spear phishing phishing all these things are techniques that could be deployed metaphorically to viral distribution a biohazard or bio warfare if you will will it look the same and how do you defend against the next covet 19 this is what you know average Americans are seeing the impact of the economy with the shelter in place is that what happens again and how do we prevent it and so a lot of people are thinking about this what is your thoughts because it kind of feels the same way as cybersecurity you got to see it early you got to know what's going on you got to identify it you got to respond to it time to close your contain similar concepts what's your thoughts on with BIOS we don't look with all due respect to the the the bio community let me make a quick analogy to the cyber security strategy right cyber security strategy starts with we start as an attacker so I parts of my previous career I'm an authorized had the opportunity to help develop tools that are very very precisely targeted against foreign adversaries and that's a harder job than you think I mean I think the same is true of anyone of a natural-born or a custom a buyer buyer is that not just any virus has the capability to do a lot of harm to a lot of people selling it so it's it's if that doesn't mean though you can sit back and say since it's hard it'll never happen you need to take proactive measures to look for evidence of a compromise of something whether it's a cyber cyber virus or otherwise you have to actively look for that you have to harm yourself to make sure you're not susceptible to it and once you detect one you need to make sure you have a the ability to do segmentation or quarantine very rapidly very very effectively right so in the cyber security community of course the fundamental strategy is about segmentation you keep different types of things separate that don't need to interact and then if you do have a compromise not everything is compromised and then lastly if you want to gradually say bring things back up to recover you can do some with small chunks I think it's a great analogy segmentation is a good analogy to I think what the nation is trying to do right now by warranty kneeing and gradually reopening up things in in segments in actually mention earlier that some of the other techniques are very very similar you want to have good visibility of where you're at risk and then you can automatically detect and then implement some some mitigations based on that good visibility so I agree with you that it turns out that the cyber security strategies might have a whole lot in common with biohazard I address it's interesting site reliability engineers which is a term that Google coined when they built out their large-scale cloud has become a practice that kind of mindset combined with some of the things that you're saying the cyber security mindset seemed to fit this at scale problem space and I might be an alarmist but I personally believe that we've been having a digital war for many many years now and I think that you know troops aren't landing but it's certainly digital troops and I think that we as a country and a global state and global society have to start thinking about you know these kinds of things where a virus could impact the United States shut down the economy devastating impact so I think Wars can be digital and so I may be an alarmist and a conspirators but I think that you know thinking about it and talking about it might be a good thing so appreciate your insights there Phil appreciated what one other point that might be interesting a few years back I was doing some research with the National Lab and we're looking for novel of cybersecurity analytics and we hired some folks who worked in the biology the bio the biomedical community who were studying a biome fires at the time and it was in recognition that there's a lot of commonality between those who are doing cybersecurity analytics and those reviewing bio biology or biomedical type analytics in you know there was a lot of good cross fertilization between our teams and it kind of helps you bring up one more there's one more point which is what we need to do in cybersecurity in general is have more diversity of workforces right now I don't mean just the traditional but important diversities of sex or color but diversity of experiences right some of the best people I've worked with in the cyber analytics field weren't computer science trained people and that's because they came in problems differently with a different background so one of the things that's really important to our field at large and of course the company my company fort net is to massively increase the amount of cyber security training that's available to people not just the computer scientists the world and the engineers but people in other areas as well the other degree to non-greek people and with that a you know higher level of cyber security training available to a more diverse community not only can we solve the problem of numbers we don't have enough cybersecurity people but we can actually increase our ability to defend against these things I have more greater diversity of thought experience you know that's such a great point I think I just put an exclamation point on that I get that question all the time and the skills gap is should I study computer science and like actually if you can solve problems that's a good thing but really diversity about diversity is a wonderful thing in the age of unlimited compute power because traditionally diversity whether it was protocol diversity or technical diversity or you know human you know makeup that's tend to slow things down but you get higher quality so that's a generalization but you get the point diversity does bring quality and if you're doing a data science you don't want have a blind spot I'm not have enough data so yeah I think a good diverse data set is a wonderful thing you're going to a whole nother level saying bringing diversely skill sets to the table because the problems are diverse is that what you're getting at it is it's one of our I'll say our platforms that we're talking about during the during the covered nineteen crisis which is perhaps there's perhaps we could all make ourselves a little bit better by taking some time out since we're not competing taking some time out and doing a little bit more online training where you can where you can either improve your current set of cybersecurity skills of knowledge or be introduced to them for the first time and so there's one or some wonderful Fortinet training available that can allow both the brand-new folks the field or or the the intermediate level folks with you become higher level experts it's an opportunity for all of us to get better rather than spending that extra hour on the road every day why don't we take at least you know 30 of those 60 minutes or former commute time and usually do some online soccer security treaty feel final question for you great insight great conversation as the world and your friends my friends people we don't know other members of society as they start to realize that the virtualization of life is happening just in your section it's convergence what general advice would you have for someone just from a mental model or mindset standpoint to alleviate any anxiety or change it certainly will be happening so how they can better themselves in their life was it is it thinking more about the the the experiences is it more learning how would you give advice to folks out there who are gonna come out of this post pandemic certainly it's gonna be a different world we're gonna be heightened to digital and virtual but as things become virtualized how can someone take this and make a positive outcome out of all this I I think that the future the future remains bright earlier we talked about sci-fi the integration of the cyber world in the physical world that's gonna provide great opportunities to make us more efficient gives us more free time detect bad things from happening earlier and hopefully mitigating those bad things from happening earlier so a lot of things that some people might use as scare tactics right convergence and Skynet in in robotics and things like that I believe these are things that will make our lives better not worse our responsibilities though is talking about those things making sure people understand that they're coming why they're important and make sure we're putting the right security and privacy to those things as these worlds this physical world and the soccer worlds converged I think the future is bright but we still have some work to do in terms of um making sure we're doing things at very high speeds there's no delay in the cybersecurity we put on top of these applications and make sure we have very very well integrated solutions that don't cause things to become more complex make make things easier to do certainly the winds of change in the big waves with the transformations happening I guess just summarize by saying just make it a head win I mean tailwind not a headwind make it work for you at the time not against it Phil thank you so much for your insights I really appreciate this cube conversation remote interview I'm John Ford with the cube talking about cybersecurity and the fundamentals of understanding what's going on in this new virtual world that we're living in to being virtualized as we get back to work and as things start to to evolve further back to normal the at scale problems and opportunities are there and of course the key was bringing it to you here remotely from our studio I'm John Ferrier thanks for watching [Music]

>> from Boston, Massachusetts. It's the queue covering active eo 2019. Data driven you by activity. >> Welcome back to Boston. Everybody watching the Cube, the leader and on the ground tech coverage money was David wanted here with my co host. A student of John for is also in the house. This is active FiOS data driven 19 conference. They're second year, John. Her stick is here is the co founder and CEO of on shape John. Thanks for coming in the Cube. Great to have you great to be here. So love the cofounder. I always ask your father. Why did you start the company? Well, we found it on shape because >> we saw an opportunity to improve how every product on Earth gets developed. Let people who develop products do it faster, B'more, innovative, and do it through a new generation software platform based in the cloud. That's our vision for on shape, That's why. Okay, >> so that's great. You start with the widened. The what is just new generation software capabilities to build the great products visualized actually create >> way took the power of cloud web and mobile and used it to re implement a lot of the classic tools for product development. Three d cad Data management Workflow Bill of Materials. He's may not mean anything to you, but they mean a lot to product developers, and we believe by by moving in the cloud by rethinking them for the cloud we can give people capabilities they've never had before. >> John, bring us in tight a little bit. So you know, I think I've heard a lot the last few years. It's like, Well, I could just do everything a simulation computer simulation. We can have all these models. They could make their three D printings changing the way I build prototypes. So what's kind of state of the state and in your fields? So >> the state of the Art R field is to model product in three dimensions in the computer before you build it for lots of reasons. For simulation for three D printing, you have to have a CAD model to do it, to see how it'll look, how parts fit together, how much it will cost. Really, every product today is built twice. First, it's built in the computer in three dimensions, is a digital model, then it's built in the real world, and what we're trying to do is make those three D modeling and data management collaboration tools to take them to a whole nother level to turbo charge it, if you will, so that teams can can work together even if they're distribute around the world. They work faster. They don't have to pay a tax to install and Karen feed for these systems. You're very complicated, a whole bunch of other benefits. So we talk about the cloud model >> you're talking about a sass model, a subscription model of different customer experience, all of the above, all of the above. Yeah, it's definitely a sass model we do on Ly SAS Way >> hosted and, uh, Amazon. Eight of us were all in with Amazon. It's a it's a subscription model, and we provide a much better, much more modern, better, more productive experience for the user CIA disrupting the traditional >> cad business. Is that Is that right? I mean more than cat cat Plus because there's no such thing as a cad company anymore. We're essentially disrupting the systems that we built because I've been in this business 30 38 years now. I've been doing this. I feel like I'm about half done. Really, really talking about >> your career. Way to start out. Well, I grew up in Chicago. I went to M I t and majored in mechanical engineering and knew howto program computers. And I go to get an internship in 1981 and they say computers, mechanical injury. You need to work on CAD. And I haven't stopped since, you know, because Because we're not done, you know, still still working here. You would >> have me, right? You can't let your weight go dynamic way before we get off on the M I t. Thing you were part of, you know, quite well known group. And Emmet tell us a little bit >> about what you're talking about. The American society of Mechanical Engineer >> has may I was actually an officer and and as any I know your great great events, but the number 21 comes to >> mind you're talking about the MIT blackjack team? Yes, I was, ah, player on the MIT blackjack team, and it's the team featured in movies, TV shows and all that. Yeah, very exciting thing to be doing while I was working at the cath lab is a grad student, you know, doing pursuing my legitimate career. There is also also, uh, playing blackjack. Okay, so you got to add some color to that. So where is the goal of the M I T. Blackjack team? What did you guys do? The goal of the M I t blackjack team was honestly, to make money using legal means of skill to Teo obtain an edge playing blackjack. And that's what we did using. Guess what? The theme of data which ties into this data driven conference and what active Eo is doing. I wish we had some of the data tools of today. I wish we had those 30 years ago. We could have We could have done even more, but it really was to win money through skill. Okay, so So you you weren't wired. Is that right? I mean, it was all sort of No, at the time, you could not use a computer in the casino. Legally, it was illegal to use a computer, so we didn't use it. We use the computer to train ourselves to analyze data. To give a systems is very common. But in the casino itself, we were just operating with good old, you know, good. This computer. Okay. And this computer would what you would you would you would count cards you would try to predict using your yeah, count cards and predict in card. Very good observation there. Card counting is really essentially prediction. In a sense, it's knowing when the remaining cards to be dealt are favorable to the player. That's the goal card counting and other systems we used. We had some proprietary systems to that were very, very not very well known. But it was all about knowing when you had an edge and when you did betting a lot of money and when you didn't betting less double doubling down on high probability situations, so on, So did that proceed Or did that catalyze like, you know, four decks, eight decks, 12 12 decks or if they were already multiple decks. So I don't think we drove them to have more decks. But we did our team. Really. Some of the systems are team Pioneer did drive some changes in the game, which are somewhat subtle. I could get into it, you know, I don't know how much time we have that they were minor changes that our team drove. The multiple decks were already are already well established. By the time my team came up, how did you guys do you know it was your record? I like to say we won millions of dollars during the time I was associated with the team and pretty pretty consistently won. We didn't win every day or every weekend, but we'd run a project for, say, six months at a time. We called it a bank kind of like a fund, if you will, into no six months periods we never lost. We always won something, sometimes quite a bit, where it was part of your data model understanding of certain casinos where there's certain casinos that were more friendly to your methodology. Yes, certain casinos have either differences in rules or, more commonly, differences in what I just call conditions like, for instance, obviously there's a lot of people betting a lot of money. It's easier to blend in, and that's a good thing for us. It could be there there. Their aggressiveness about trying to find card counters right would vary from casino to casino, those kinds of factors and occasionally minor rule variations to help us out. So you're very welcome at because he knows is that well, I once that welcome, I've actually been been Bardet many facilities tell us about that. Well, you get, you get barred, you get usually quite politely asked toe leave by some big guy, sometimes a big person, but sometimes just just honestly, people who like you will just come over and say, Hey, John, we'd rather you not play blackjack here, you know that. You know, we only played in very upstanding professional kind of facilities, but still, the message was clear. You know, you're not welcome here in Las Vegas. They're allowed to bar you from the premises with no reason given in Las Vegas. It's just the law there in Atlantic City. That was not the law. But in Vegas they could bar you and just say you're not welcome. If you come back, we'll arrest you for trespassing. Yeah, And you really think you said everything you did was legal? You know, we kind of gaming the system, I guess through, you know, displaying well probabilities and playing well. But this interesting soothe casinos. Khun, rig the system, right? They could never lose, but the >> players has ever get a bet against the House. >> How did >> you did you at all apply that experience? Your affinity to data to you know, Let's fast forward to where you are now, so I think I learned a lot of lessons playing blackjack that apply to my career and design software tools. It's solid works my old company and now death. So System, who acquired solid words and nowt on shape I learned about data and rigor, could be very powerful tools to win. I learned that even when everyone you know will tell you you can't win, you still can win. You know that a lot of people told me Black Jack would never work. A lot of people told me solid works. We never worked. A lot of people told me on shape would be impossible to build. And you know, you learn that you can win even when other people tell you, Can't you learn that in the long run is a long time? People usually think of what you know, Black Jack. You have to play thousands of hands to really see the edge come out. So I've learned that in business sometimes. You know, sometimes you'll see something happened. You just say, Just stay the course. Everything's gonna work out, right? I've seen that happen. >> Well, they say in business oftentimes, if people tell you it's impossible, you're probably looking at a >> good thing to work on. Yeah. So what's made it? What? What? What was made it ostensibly impossible. How did you overcome that challenge? You mean, >> uh, on >> shape? Come on, Shake. A lot of people thought that that using cloud based tools to build all the product development tools people need would be impossible. Our software tools in product development were modeling three D objects to the precision of the real world. You know that a laptop computer, a wristwatch, a chair, it has to be perfect. It's an incredibly hard problem. We work with large amounts of data. We work with really complex mathematics, huge computing loads, huge graphic loads, interactive response times. All these things add up to people feeling Oh, well, that would never be possible in the cloud. But we believe the opposite is true. We believe we're going to show the world. And in the future, people say, you know We don't understand how you do it without the cloud because there's so much computing require. >> Yeah, right. It seems you know where we're heavy in the cloud space. And if you were talking about this 10 years ago, I could understand some skepticism in 10 2019. All of those things that you mentioned, if I could spin it up, I could do it faster. I can get the resources I need when I needed a good economics. But that's what the clouds built for, as opposed to having to build out. You know, all of these resource is yourself. So what >> was the what was the big technical challenge? Was it was it? Was it latent? See, was it was tooling. So performance is one of the big technical challenges, As you'd imagine, You know, we deliver with on shape we deliver a full set of tools, including CAD formal release management with work flow. If that makes sense to you. Building materials, configurations, industrial grade used by professional companies, thousands of companies around the world. We do that all in a Web browser on any Mac Windows machine. Chromebook Lennox's computer iPad. I look atyou. I mean, we're using. We run on all these devices where the on ly tools in our industry that will run on all these devices and we do that kind of magic. There's nothing install. I could go and run on shape right here in your browser. You don't need a 40 pound laptop, so no, you don't need a 40 pound laptop you don't need. You don't need to install anything. It runs like the way we took our inspiration from tools like I Work Day and Sales Force and Zen Desk and Nets. Sweet. It's just we have to do three D graphics and heavy duty released management. All these complexities that they didn't necessarily have to do. The other thing that was hard was not only a technical challenge like that, but way had to rethink how workflow would happen, how the tools could be better. We didn't just take the old tools and throw him up in a cloud window, we said, How could we make a better way of doing workflow, release management and collaboration than it's ever been done before? So we had to rethink the user experience in the paradigms of the systems. Well, you know, a lot of talk about the edge and if it's relevant for your business. But there's a lot of concerns about the cloud being able to support the edge. But just listening to you, John, it's It's like, Well, everybody says it's impossible. Maybe it's not impossible, but maybe you can solve the speed of light problem. Any thoughts on that? Well, I think all cloud solutions use edge to some degree. Like if you look at any of the systems. I just mentioned sales for us workday, Google Maps. They're using these devices. I mean, it's it's important that you have a good client device. You have better experience. They don't just do everything in the cloud. They say There, there. To me, they're like a carefully orchestrated symphony that says We'll do these things in the core of the cloud, these things near the engineer, the user, and then these things will do right in the client device. So when you're moving around your Google map or when you're looking this big report and sales force you're using the client to this is what are we have some amazing people on her team, like R. We have the fellow who was CTO of Blade Logic. Robbie Ready. And he explains these concepts to make John Russo from Hey came to us from Verizon. These are people who know about big systems, and they helped me understand how we would distribute these workloads. So there's there's no such thing is something that runs completely in the cloud. It has to send something down. So, uh, talk aboutthe company where you're at, you guys have done several raises. You've got thousands of customers. You maybe want to add a couple of zeros to that over time is what's the aspirations? Yeah, correct. We have 1000. The good news is we have thousands of customer cos designing everything you could imagine. Some things never would everything from drones two. We have a company doing nuclear counter terrorism equipment. Amazing stuff. Way have people doing special purpose electric vehicles. We have toys way, have furniture, everything you'd imagined. So that's very gratifying. You us. But thousands of companies is still a small part of the world. This is a $10,000,000,000 a year market with $100,000,000,000 in market cap and literally millions of users. So we have great aspirations to grow our number of users and to grow our tool set capability. So let's talk to him for a second. So $10,000,000,000 current tam are there. Jason sees emerging with all these things, like three D printing and machine intelligence, that that actually could significantly increase the tam when you break out your binoculars or even your telescope. Yes, there are. Jason sees their increasing the tam through. Like you say, new areas drive us So So obviously someone is doing more additive manufacturing. More generative design. They're goingto have more use for tools like ours. Cos the other thing that I observed, if I can add one, it's my own observations. I think design is becoming a greater component of GDP, if you will, like if you look at how much goods in the world are driven by design value versus a decade or two or when I was a child, you know, I just see this is incredible amount, like products are distinguished by design more and more, and so I think that we'll see growth also through through the growth in design as an element of GDP on >> Jonah. I love that observation actually felt like, you know, my tradition. Engineering education. Yeah, didn't get much. A lot of design thing. It wasn't until I was in industry for years. That had a lot of exposure to that. And it's something that we've seen huge explosion last 10 years. And if you talk about automation versus people, it's like the people that designed that creativity is what's going to drive into the >> absolutely, You know, we just surveyed almost 1000 professionals product development leaders. Honestly, I think we haven't published our results yet, So you're getting it. We're about to publish it online, and we found that top of mind is designed process improvements over any particular technology. Be a machine learning, You know, the machine learning is a school for the product development. How did it manufacturers a tool to develop new products, but ultimately they have to have a great process to be competitive in today's very competitive markets. Well, you've seen the effect of the impact that Apple has had on DH sort of awakening people to know the value of grace. Desire absolutely have to go back to the Sony Walkman. You know what happened when I first saw one, right? That's very interesting design. And then, you know, Dark Ages compared to today, you know, I hate to say it. Not a shot at Sony with Sony Wass was the apple? Yeah, era. And what happened? Did they drop the ball on manufacturing? Was it cost to shoot? No. They lost the design leadership poll position. They lost that ability to create a world in pox. Now it's apple. And it's not just apple. You've got Tesla who has lit up the world with exciting design. You've got Dyson. You know, you've got a lot of companies that air saying, you know, it's all about designing those cos it's not that they're cheaper products, certainly rethinking things, pushing. Yeah, the way you feel when you use these products, the senses. So >> that's what the brand experience is becoming. All right. All right, John, thanks >> so much for coming on. The Cuban sharing your experiences with our audience. Well, thank you for having me. It's been a pleasure, really? Our pleasure. All right, Keep right. Everybody stupid demand. A volonte, John Furry. We've been back active, eo active data driven 19 from Boston. You're watching the Cube. Thanks

>> Ladies and gentlemen, please welcome Red Hat President Products and Technologies. Paul Cormier. Boring. >> Welcome back to Boston. Welcome back. And welcome back after a great night last night of our opening with with Jim and talking to certainly saw ten Jenny and and especially our customers. It was so great last night to hear our customers in how they set their their goals and how they met their goals. All possible because certainly with a little help from red hat, but all possible because of because of open source. And, you know, sometimes we have to all due that has set goals. And I'm going to talk this morning about what we as a company and with community, have set for our goals along the way. And sometimes you have to do that. You know, audacious goals. It can really change the perception of what's even possible. And, you know, if I look back, I can't think of anything, at least in my lifetime, that's more important. Or such a big golden John F. Kennedy setting the gold to the American people to go to the moon. I believe it or not, I was really, really only three years old when he said that, honestly. But as I grew up, I remember the passion around the whole country and the energy to make that goal a reality. So let's sort of talk about in compare and contrast, a little bit of where we are technically at that time, you know, tto win and to beat and winning the space race and even get into the space race. There was some really big technical challenges along the way. I mean, believe it or not. Not that long ago. But even But back then, math Malik mathematical calculations were being shifted from from brilliant people who we trusted, and you could look in the eye to A to a computer that was programmed with the results that were mostly printed out. This this is a time where the potential of computers was just really coming on the scene and, at the time, the space race at the time of space race it. It revolved around an IBM seventy ninety, which was one of the first transistor based computers. It could perform mathematical calculations faster than even the most brilliant mathematicians. But just like today, this also came with many, many challenges And while we had the goal of in the beginning of the technique and the technology to accomplish it, we needed people so dedicated to that goal that they would risk everything. And while it may seem commonplace to us today to trust, put our trust in machines, that wasn't the case. Back in nineteen sixty nine, the seven individuals that made up the Mercury Space crew were putting their their lives in the hands of those first computers. But on Sunday, July twentieth, nineteen sixty nine, these things all came together. The goal, the technology in the team and a human being walked on the moon. You know, if this was possible fifty years ago, just think about what Khun B. Accomplished today, where technology is part of our everyday lives. And with technology advances at an ever increasing rate, it's hard to comprehend the potential that sitting right at our fingertips every single day, everything you know about computing is continuing to change. Today, let's look a bit it back. A computing In nineteen sixty nine, the IBM seventy ninety could process one hundred thousand floating point operations per second, today's Xbox one that sitting in most of your living rooms probably can process six trillion flops. That's sixty million times more powerful than the original seventy ninety that helped put a human being on the moon. And at the same time that computing was, that was drastically changed. That this computing has drastically changed. So have the boundaries of where that computing sits and where it's been where it lives. At the time of the Apollo launch, the computing power was often a single machine. Then it moved to a single data center, and over time that grew to multiple data centers. Then with cloud, it extended all the way out to data centers that you didn't even own or have control of. But but computing now reaches far beyond any data center. This is also referred to as the edge. You hear a lot about that. The Apollo's, the Apollo's version of the Edge was the guidance system, a two megahertz computer that weighed seventy pounds embedded in the capsule. Today, today the edge is right here on my wrist. This apple watch weighs just a couple of ounces, and it's ten ten thousand times more powerful than that seventy ninety back in nineteen sixty nine But even more impactful than computing advances, combined with the pervasive availability of it, are the changes and who in what controls those that similar to social changes that have happened along the way. Shifting from mathematicians to computers, we're now facing the same type of changes with regards to operational control of our computing power. In its first forms. Operational control was your team, your team within your control? In some cases, a single person managed everything. But as complexity grows, our team's expanded, just like in the just like in the computing boundaries, system integrators and public cloud providers have become an extension of our team. But at the end of the day, it's still people that are still making all the decisions going forward with the progress of things like a I and software defined everything. It's quite likely that machines will be managing machines, and in many cases that's already happening today. But while the technology at our finger tips today is so impressive, the pace of changing complexity of the problems we aspire to solve our equally hard to comprehend and they are all intertwined with one another learning from each other, growing together faster and faster. We are tackling problems today on a global scale with unsinkable complexity beyond anyone beyond what any one single company or even one single country Khun solve alone. This is why open source is so important. This is why open source is so needed today in software. This is why open sources so needed today, even in the world, to solve other types of complex problems. And this is why open source has become the dominant development model which is driving the technology direction. Today is to bring two brother to bring together the best innovation from every corner of the planet. Toe fundamentally change how we solve problems. This approach and access the innovation is what has enabled open source To tackle The challenge is big challenges, like creating the hybrid cloud like building a truly open hybrid cloud. But even today it's really difficult to bridge the gap of the innovation. It's available in all in all of our fingertips by open source development, while providing the production level capabilities that are needed to really dip, ploy this in the enterprise and solve RIA world business problems. Red Hat has been committed to open source from the very, very beginning and bringing it to solve enterprise class problems for the last seventeen plus years. But when we built that model to bring open source to the enterprise, we absolutely knew we couldn't do it halfway tow harness the innovation. We had to fully embrace the model. We made a decision very early on. Give everything back and we live by that every single day. We didn't do crazy crazy things like you hear so many do out there. All this is open corps or everything below. The line is open and everything above the line is closed. We didn't do that, and we gave everything back Everything we learned in the process of becoming an enterprise class technology company. We gave it all of that back to the community to make better and better software. This is how it works. And we've seen the results of that. We've all seen the results of that and it could only have been possible within open source development model we've been building on the foundation of open source is most successful Project Lennox in the architecture of the future hybrid and bringing them to the Enterprise. This is what made Red Hat, the company that we are today and red hats journey. But we also had the set goals, and and many of them seemed insert insurmountable at the time, the first of which was making Lennox the Enterprise standard. And while this is so accepted today, let's take a look at what it took to get there. Our first launch into the Enterprise was rail two dot one. Yes, I know we two dot one, but we knew we couldn't release a one dato product. We knew that and and we didn't. But >> we didn't want to >> allow any reason why anyone of any customer anyone shouldn't should look past rail to solve their problems as an option. Back then, we had to fight every single flavor of Unix in every single account. But we were lucky to have a few initial partners and Big Eyes v partners that supported Rehl out of the gate. But while we had the determination, we knew we also had gaps in order to deliver on our on our priorities. In the early days of rail, I remember going to ask one of our engineers for a past rehl build because we were having a customer issue on it on an older release. And then I watched in horror as he rifled through his desk through a mess of CDs and magically came up and said, I found it here It is told me not to worry that the build this was he thinks this was the bill. This was the right one, and at that point I knew that despite the promise of Lennox, we had a lot of work ahead of us. The not only convinced the world that Lennox was secure, stable, an enterprise ready, but also to make that a reality. But we did. And today this is our reality. It's all of our reality. From the Enterprise Data Center standard to the fastest computers on the planet, Red Hat Enterprise, Lennox has continually risen to the challenge and has become the core foundation that many mission critical customers run and bet their business on. And an even bigger today Lennox is the foundation of which practically every single technology initiative is built upon. Lennox is not only standard toe build on today, it's the standard for innovation that builds around it. That's the innovation that's driving the future as well. We started our story with rail two dot one, and here we are today, seventeen years later, announcing rally as we did as we did last night. It's specifically designed for applications to run across the open hybrid. Clyde Cloud. Railed has become the best operating simp system for on premise all the way out to the cloud, providing that common operating model and workload foundation on which to build hybrid applications. Let's take it. Let's take a look at how far we've come and see this in action. >> Please welcome Red Hat Global director of developer experience, burst Sutter with Josh Boyer, Timothy Kramer, Lars Carl, it's Key and Brent Midwood. All right, we have some amazing things to show you. In just a few short moments, we actually have a lot of things to show you. And actually, Tim and Brandt will be with us momentarily. They're working out a few things in the back because we have a lot of this is gonna be a live demonstration, some incredible capabilities. Now you're going to see clear innovation inside the operating system where we worked incredibly hard to make it vast cities. You're free to manage many, many machines. I want you thinking about that as we go to this process. Now, also, keep in mind that this is the basis our core platform for everything we do here. Red hat. So it is an honor for me to be able to show it to you live on stage today. And so I recognize the many of you in the audience right now. Her hand's on systems administrators, systems, architect, citizens, engineers. And we know that you're under ever growing pressure to deliver needed infrastructure. Resource is ever faster, and that is a key element to what you're thinking about every day. Well, this has been a core theme, and our design decisions find red Odd Enterprise Lennox eight and intelligent operating system, which is making it fundamentally easier for you manage machines that scale. So hold what you're about to see next. Feels like a new superpower and and that redhead azure force multiplier. So first, let me introduce you to a large. He's totally my limits guru. >> I wouldn't call myself a girl, but I I guess you could say that I want to bring Lennox and light meant to more people. >> Okay, Well, let's let's dive in. And we're not about the clinic's eight. >> Sure. Let me go. And Morgan, >> wait a >> second. There's windows. >> Yeah, way Build the weft Consul into Really? That means that for the first time, you can log in from any device including your phone or this standard windows laptop. So you just go ahead and and to my Saturday lance credentials here. >> Okay, so now >> you're putting >> your limits password and over the web. >> Yeah, that might sound a bit scary at first, but of course, we're using the latest security tech by T. L s on dh csp on. Because that's the standard Lennox off site. You can use everything that you used to like a stage keys, OTP, tokens and stuff like this. >> Okay, so now I see the council right here. I love the dashboard overview of the system, but what else can you tell us about this council? >> Right? Like right here. You see the load of the system, some some of its properties. But you can also dive into logs everything that you're used to from the command line, right? Or lookit, services. This's all the services I've running, can start and stuff them and enable >> OK, I love that feature right there. So what about if I have to add a whole new application to this environment? >> Good that you're bringing that up. We build a new future into hell called application streams. Which the way for you to install different versions of your half stack that are supported I'LL show you with Youngmin a command line. But since Windows doesn't have a proper terminal, I'll just do it in the terminal that we built into the Web console Since the browser, I can even make this a bit bigger. Go to, for example, to see the application streams that we have for Poskus. Ijust do module list and I see you know we have ten and nine dot six Both supported tennis a default on defy enable ninety six Now the next time that I installed prescribes it will pull all their lady towards from them at six. >> Ok, so this is very cool. I see two verses of post Chris right here What tennis to default. That is fantastic and the application streams making that happen. But I'm really kind of curious, right? I loved using know js and Java. So what about multiple versions of those? >> Yeah, that's exactly the idea way. Want to keep up with the fast moving ecosystems off programming language? Isn't it a business? >> Okay, now, But I have another key question. I know some people were thinking it right now. What about Python? >> Yeah. In fact, in a minimum and still like this, python gives you command. Not fact. Just have to type it correctly. You can't just install which everyone you want two or three or whichever your application needs. >> Okay, Well, that is I've been burned on that one before. Okay, so no actual. Have a confession for all you guys. Right here. You guys keep this amongst yourselves. Don't let Paul No, I'm actually not a linnet systems administrator. I'm an application developer, an application architect, And I recently had to go figure out how to extend the file system. This is for real. And I'm going to the rat knowledge base and looking up things like, you know, PV create VD, extend resized to f s. And I have to admit, that's hard, >> right? I've opened the storage space for you right here, where you see an overview of your storage. And the council has made for people like you as well not only for people that I knew that when you two lunatics, right? It's if you're running, you're running some of the commands only, you know, some of the time you don't remember them. So, for example, I haven't felt twosome here. That's a little bit too small. Let me just throw it. It's like, you know, dragging this lighter. It calls all the command in the background for you. >> Oh, that is incredible. Is that simple? Just drag and drop. That is fantastic. Well, so I actually, you know, we'll have another question for you. It looks like now this linen systems administration is no longer a dark heart involving arcane commands typed into a black terminal. Like using when those funky ergonomic keyboards you know I'm talking about right? Do >> you know a lot of people, including me and people in the audience like that dark out right? And this is not taking any of that away. It's on additional tool to bring limits to more people. >> Okay, well, that is absolute fantastic. Thank you so much for that Large. And I really love him installing everything is so much easier, including a post gra seeker and, of course, the python that we saw right there. So now I want to change gears for a second because I actually have another situation that I'm always dealing with. And that is every time I want to build a new Lenox system, not only I don't want to have to install those commands again and again, it feels like I'm doing it over and over. So, Josh, how would I create a golden image? One VM image that can use and we have everything pre baked in? >> Yeah, absolutely. But >> we get that question all the time. So really includes image builder technology. Image builder technology is actually all of our hybrid cloud operating system image tools that we use to build our own images and rolled up in a nice, easy to integrate new system. So if I come here in the web console and I go to our image builder tab, it brings us to blueprints, right? Blueprints or what we used to actually control it goes into our golden image. Uh, and I heard you and Lars talking about post present python. So I went and started typing here. So it brings us to this page, but you could go to the selected components, and you can see here I've created a blueprint that has all the python and post press packages in it. Ah, and the interesting thing about this is it build on our existing kickstart technology. But you can use it to deploy that whatever cloud you want. And it's saved so that you don't actually have to know all the various incantations from Amazon toe azure to Google, whatever it's all baked in on. When you do this, you can actually see the dependencies that get brought in as well. Okay. Should we create one life? Yes, please. All right, cool. So if we go back to the blueprints page and we click create blueprint Let's, uh let's make a developer brute blueprint here. So we click great, and you can see here on the left hand side. I've got all of my content served up by Red Hat satellite. We have a lot of great stuff, and really, But we can go ahead and search. So we'LL look for post grows and you know, it's a developer image at the client for some local testing. Um, well, come in here and at the python bits. Probably the development package. We need a compiler if we're going to actually build anything. So look for GCC here and hey, what's your favorite editor? >> A Max, Of course, >> Max. All right. Hey, Lars, about you. I'm more of a person. You Maxim v I All right, Well, if you want to prevent a holy war in your system, you can actually use satellite to filter that out. But we're going to go ahead and Adam Ball, sweetie, I'm a fight on stage. So wait, just point and click. Let the graphical one. And then when we're all done, we just commit our changes, and our image is ready to build. >> Okay, So this VM image we just created right now from that blueprint this is now I can actually go out there and easily deploys of deploy this across multiple cloud providers. And as well as this on stage are where we have right now. >> Yeah, absolutely. We can to play on Amazon as your google any any infrastructure you're looking for so you can really hit your Clyburn hybrid cloud operating system images. >> Okay. All right, listen, we >> just go on, click, create image. Uh, we can select our different types here. I'm gonna go ahead and create a local VM because it's available image, and maybe they want to pass it around or whatever, and I just need a few moments for it to build. >> Okay? So while that's taking a few moments, I know there's another key question in the minds of the audience right now, and you're probably thinking I love what I see. What Right eye right hand Priceline say. But >> what does it >> take to upgrade from seven to eight? So large can you show us and walk us through an upgrade? >> Sure, this's my little Thomas Block that I set up. It's powered by what Chris and secrets over, but it's still running on seven six. So let's upgrade that jump over to my house fee on satellite on. You see all my relate machines here, including the one I showed you what Consul on before. And there is that one with my sun block and there's a couple others. Let me select those as well. This one on that one. Just go up here. Schedule remote job. And she was really great. And hit Submit. I made it so that it makes the booms national before. So if anything was wrong Kans throwback! >> Okay, okay, so now it's progressing. Here, >> it's progressing. Looks like it's running. Doing >> live upgrade on stage. Uh, >> seems like one is failing. What's going on here? Okay, we checked the tree of great Chuck. Oh, yeah, that's the one I was playing around with Butter fest backstage. What? Detective that and you know, it doesn't run the Afghan cause we don't support operating that. >> Okay, so what I'm hearing now? So the good news is, we were protected from possible failed upgrade there, So it sounds like these upgrades are perfectly safe. Aiken, basically, you know, schedule this during a maintenance window and still get some sleep. >> Totally. That's the idea. >> Okay, fantastic. All right. So it looks like upgrades are easy and perfectly safe. And I really love what you showed us there. It's good point. Click operation right from satellite. Ok, so Well, you know, we were checking out upgrades. I want to know Josh. How those v ems coming along. >> They went really well. So you were away for so long. I got a little bored and I took some liberties. >> What do you mean? >> Well, the image Bill And, you know, I decided I'm going to go ahead and deploy here to this Intel machine on stage Esso. I have that up and running in the web. Counsel. I built another one on the arm box, which is actually pretty fast, and that's up and running on this. Our machine on that went so well that I decided to spend up some an Amazon. So I've got a few instances here running an Amazon with the web console accessible there as well. On even more of our pre bill image is up and running an azure with the web console there. So the really cool thing about this bird is that all of these images were built with image builder in a single location, controlling all the content that you want in your golden images deployed across the hybrid cloud. >> Wow, that is fantastic. And you might think that so we actually have more to show you. So thank you so much for that large. And Josh, that is fantastic. Looks like provisioning bread. Enterprise Clinic Systems ate a redhead. Enterprise Enterprise. Rhetta Enterprise Lennox. Eight Systems is Asian ever before, but >> we have >> more to talk to you about. And there's one thing that many of the operations professionals in this room right now no, that provisioning of'em is easy, but it's really day two day three, it's down the road that those viens required day to day maintenance. As a matter of fact, several you folks right now in this audience to have to manage hundreds, if not thousands, of virtual machines I recently spoke to. Gentleman has to manage thirteen hundred servers. So how do you manage those machines? A great scale. So great that they have now joined us is that it looks like they worked things out. So now I'm curious, Tim. How will we manage hundreds, if not thousands, of computers? >> Welbourne, one human managing hundreds or even thousands of'em says, No problem, because we have Ansel automation. And by leveraging Ansel's integration into satellite, not only can we spin up those V em's really quickly, like Josh was just doing, but we can also make ongoing maintenance of them really simple. Come on up here. I'm going to show you here a satellite inventory and his red hat is publishing patches. Weaken with that danceable integration easily apply those patches across our entire fleet of machines. Okay, >> that is fantastic. So he's all the machines can get updated in one fell swoop. >> He sure can. And there's one thing that I want to bring your attention to today because it's brand new. And that's cloud that red hat dot com And here, a cloud that redhead dot com You can view and manage your entire inventory no matter where it sits. Of Redhead Enterprise Lennox like on Prem on stage. Private Cloud or Public Cloud. It's true Hybrid cloud management. >> OK, but one thing. One thing. I know that in the minds of the audience right now. And if you have to manage a large number servers this it comes up again and again. What happens when you have those critical vulnerabilities that next zero day CV could be tomorrow? >> Exactly. I've actually been waiting for a while patiently for you >> to get to the really good stuff. So >> there's one more thing that I wanted to let folks know about. Red Hat Enterprise. The >> next eight and some features that we have there. Oh, >> yeah? What is that? >> So, actually, one of the key design principles of relate is working with our customers over the last twenty years to integrate all the knowledge that we've gained and turn that into insights that we can use to keep our red hat Enterprise Lennox servers running securely, inefficiently. And so what we actually have here is a few things that we could take a look at show folks what that is. >> OK, so we basically have this new feature. We're going to show people right now. And so one thing I want to make sure it's absolutely included within the redhead enterprise in that state. >> Yes. Oh, that's Ah, that's an announcement that we're making this week is that this is a brand new feature that's integrated with Red Hat Enterprise clinics, and it's available to everybody that has a red hat enterprise like subscription. So >> I believe everyone in this room right now has a rail subscriptions, so it's available to all of them. >> Absolutely, absolutely. So let's take a quick look and try this out. So we actually have. Here is a list of about six hundred rules. They're configuration security and performance rules. And this is this list is growing every single day, so customers can actually opt in to the rules that are most that are most applicable to their enterprises. So what we're actually doing here is combining the experience and knowledge that we have with the data that our customers opt into sending us. So customers have opted in and are sending us more data every single night. Then they actually have in total over the last twenty years via any other mechanism. >> Now there's I see now there's some critical findings. That's what I was talking about. But it comes to CVS and things that nature. >> Yeah, I'm betting that those air probably some of the rail seven boxes that we haven't actually upgraded quite yet. So we get back to that. What? I'd really like to show everybody here because everybody has access to this is how easy it is to opt in and enable this feature for real. Okay, let's do that real quick, so I gotta hop back over to satellite here. This is the satellite that we saw before, and I'll grab one of the hosts and we can use the new Web console feature that's part of Railly, and via single sign on I could jump right from satellite over to the Web console. So it's really, really easy. And I'LL grab a terminal here and registering with insights is really, really easy. Is one command troops, and what's happening right now is the box is going to gather some data. It's going to send it up to the cloud, and within just a minute or two, we're gonna have some results that we can look at back on the Web interface. >> I love it so it's just a single command and you're ready to register this box right now. That is super easy. Well, that's fantastic, >> Brent. We started this whole series of demonstrations by telling the audience that Red Hat Enterprise Lennox eight was the easiest, most economical and smartest operating system on the planet, period. And well, I think it's cute how you can go ahead and captain on a single machine. I'm going to show you one more thing. This is Answerable Tower. You can use as a bell tower to managing govern your answerable playbook, usage across your entire organization and with this. What I could do is on every single VM that was spun up here today. Opt in and register insights with a single click of a button. >> Okay, I want to see that right now. I know everyone's waiting for it as well, But hey, you're VM is ready. Josh. Lars? >> Yeah. My clock is running a little late now. Yeah, insights is a really cool feature >> of rail. And I've got it in all my images already. All >> right, I'm doing it all right. And so as this playbook runs across the inventory, I can see the machines registering on cloud that redhead dot com ready to be managed. >> OK, so all those onstage PM's as well as the hybrid cloud VM should be popping in IRC Post Chris equals Well, fantastic. >> That's awesome. Thanks to him. Nothing better than a Red Hat Summit speaker in the first live demo going off script deal. Uh, let's go back and take a look at some of those critical issues affecting a few of our systems here. So you can see this is a particular deanna's mask issue. It's going to affect a couple of machines. We saw that in the overview, and I can actually go and get some more details about what this particular issue is. So if you take a look at the right side of the screen there, there's actually a critical likelihood an impact that's associated with this particular issue. And what that really translates to is that there's a high level of risk to our organization from this particular issue. But also there's a low risk of change. And so what that means is that it's really, really safe for us to go ahead and use answerable to mediate this so I can grab the machines will select those two and we're mediate with answerable. I can create a new playbook. It's our maintenance window, but we'LL do something along the lines of like stuff Tim broke and that'LL be our cause. We name it whatever we want. So we'Ll create that playbook and take a look at it, and it's actually going to give us some details about the machines. You know what, what type of reboots Efendi you're going to be needed and what we need here. So we'LL go ahead and execute the playbook and what you're going to see is the outputs goingto happen in real time. So this is happening from the cloud were affecting machines. No matter where they are, they could be on Prem. They could be in a hybrid cloud, a public cloud or in a private cloud. And these things are gonna be remediated very, very easily with answerable. So it's really, really awesome. Everybody here with a red hat. Enterprise licks Lennox subscription has access to this now, so I >> kind of want >> everybody to go try this like, we really need to get this thing going and try it out right now. But >> don't know, sent about the room just yet. You get stay here >> for okay, Mr. Excitability, I think after this keynote, come back to the red hat booth and there's an optimization section. You can come talk to our insights engineers. And even though it's really easy to get going on your own, they can help you out. Answer any questions you might have. So >> this is really the start of a new era with an intelligent operating system and beauty with intelligence you just saw right now what insights that troubles you. Fantastic. So we're enabling systems administrators to manage more red in private clinics, a greater scale than ever before. I know there's a lot more we could show you, but we're totally out of time at this point, and we kind of, you know, when a little bit sideways here moments. But we need to get off the stage. But there's one thing I want you guys to think about it. All right? Do come check out the in the booth. Like Tim just said also in our debs, Get hands on red and a prize winning state as well. But really, I want you to think about this one human and a multitude of servers. And if you remember that one thing asked you upfront. Do you feel like you get a new superpower and redhead? Is your force multiplier? All right, well, thank you so much. Josh and Lars, Tim and Brent. Thank you. And let's get Paul back on stage. >> I went brilliant. No, it's just as always, >> amazing. I mean, as you can tell from last night were really, really proud of relate in that coming out here at the summit. And what a great way to showcase it. Thanks so much to you. Birth. Thanks, Brent. Tim, Lars and Josh. Just thanks again. So you've just seen this team demonstrate how impactful rail Khun b on your data center. So hopefully hopefully many of you. If not all of you have experienced that as well. But it was super computers. We hear about that all the time, as I just told you a few minutes ago, Lennox isn't just the foundation for enterprise and cloud computing. It's also the foundation for the fastest super computers in the world. In our next guest is here to tell us a lot more about that. >> Please welcome Lawrence Livermore National Laboratory. HPC solution Architect Robin Goldstone. >> Thank you so much, Robin. >> So welcome. Welcome to the summit. Welcome to Boston. And thank thank you so much for coming for joining us. Can you tell us a bit about the goals of Lawrence Livermore National Lab and how high high performance computing really works at this level? >> Sure. So Lawrence Livermore National >> Lab was established during the Cold War to address urgent national security needs by advancing the state of nuclear weapons, science and technology and high performance computing has always been one of our core capabilities. In fact, our very first supercomputer, ah Univac one was ordered by Edward Teller before our lab even opened back in nineteen fifty two. Our mission has evolved since then to cover a broad range of national security challenges. But first and foremost, our job is to ensure the safety, security and reliability of the nation's nuclear weapons stockpile. Oh, since the US no longer performs underground nuclear testing, our ability to certify the stockpile depends heavily on science based science space methods. We rely on H P C to simulate the behavior of complex weapons systems to ensure that they can function as expected, well beyond their intended life spans. That's actually great. >> So are you really are still running on that on that Univac? >> No, Actually, we we've moved on since then. So Sierra is Lawrence Livermore. Its latest and greatest supercomputer is currently the Seconds spastic supercomputer in the world and for the geeks in the audience, I think there's a few of them out there. We put up some of the specs of Syrah on the screen behind me, a couple of things worth highlighting our Sierra's peak performance and its power utilisation. So one hundred twenty five Pata flops of performance is equivalent to about twenty thousand of those Xbox one excess that you mentioned earlier and eleven point six megawatts of power required Operate Sierra is enough to power around eleven thousand homes. Syria is a very large and complex system, but underneath it all, it starts out as a collection of servers running Lin IX and more specifically, rail. >> So did Lawrence. Did Lawrence Livermore National Lab National Lab used Yisrael before >> Sierra? Oh, yeah, most definitely. So we've been running rail for a very long time on what I'll call our mid range HPC systems. So these clusters, built from commodity components, are sort of the bread and butter of our computer center. And running rail on these systems provides us with a continuity of operations and a common user environment across multiple generations of hardware. Also between Lawrence Livermore in our sister labs, Los Alamos and Sandia. Alongside these commodity clusters, though, we've always had one sort of world class supercomputer like Sierra. Historically, these systems have been built for a sort of exotic proprietary hardware running entirely closed source operating systems. Anytime something broke, which was often the Vander would be on the hook to fix it. And you know, >> that sounds >> like a good model, except that what we found overtime is most the issues that we have on these systems were either due to the extreme scale or the complexity of our workloads. Vendors seldom had a system anywhere near the size of ours, and we couldn't give them our classified codes. So their ability to reproduce our problem was was pretty limited. In some cases, they've even sent an engineer on site to try to reproduce our problems. But even then, sometimes we wouldn't get a fix for months or else they would just tell us they weren't going to fix the problem because we were the only ones having it. >> So for many of us, for many of us, the challenges is one of driving reasons for open source, you know, for even open source existing. How has how did Sierra change? Things are on open source for >> you. Sure. So when we developed our technical requirements for Sierra, we had an explicit requirement that we want to run an open source operating system and a strong preference for rail. At the time, IBM was working with red hat toe add support Terrell for their new little Indian power architecture. So it was really just natural for them to bid a red. A rail bay system for Sierra running Raylan Cyril allows us to leverage the model that's worked so well for us for all this time on our commodity clusters any packages that we build for X eighty six, we can now build those packages for power as well as our market texture using our internal build infrastructure. And while we have a formal support relationship with IBM, we can also tap our in house colonel developers to help debug complex problems are sys. Admin is Khun now work on any of our systems, including Sierra, without having toe pull out their cheat sheet of obscure proprietary commands. Our users get a consistent software environment across all our systems. And if the security vulnerability comes out, we don't have to chase around getting fixes from Multan slo es fenders. >> You know, you've been able, you've been able to extend your foundation from all the way from X eighty six all all the way to the extract excess Excuse scale supercomputing. We talk about giving customers all we talked about it all the time. A standard operational foundation to build upon. This isn't This isn't exactly what we've envisioned. So So what's next for you >> guys? Right. So what's next? So Sierra's just now going into production. But even so, we're already working on the contract for our next supercomputer called El Capitan. That's scheduled to be delivered the Lawrence Livermore in the twenty twenty two twenty timeframe. El Capitan is expected to be about ten times the performance of Sierra. I can't share any more details about that system right now, but we are hoping that we're going to be able to continue to build on a solid foundation. That relish provided us for well over a decade. >> Well, thank you so much for your support of realm over the years, Robin. And And thank you so much for coming and tell us about it today. And we can't wait to hear more about El Capitan. Thank you. Thank you very much. So now you know why we're so proud of realm. And while you saw confetti cannons and T shirt cannons last night, um, so you know, as as burned the team talked about the demo rail is the force multiplier for servers. We've made Lennox one of the most powerful platforms in the history of platforms. But just as Lennox has become a viable platform with access for everyone, and rail has become viable, more viable every day in the enterprise open source projects began to flourish around the operating system. And we needed to bring those projects to our enterprise customers in the form of products with the same trust models as we did with Ralph seeing the incredible progress of software development occurring around Lennox. Let's let's lead us to the next goal that we said tow, tow ourselves. That goal was to make hybrid cloud the default enterprise for the architecture. How many? How many of you out here in the audience or are Cesar are? HC sees how many out there a lot. A lot. You are the people that our building the next generation of computing the hybrid cloud, you know, again with like just like our goals around Lennox. This goals might seem a little daunting in the beginning, but as a community we've proved it time and time again. We are unstoppable. Let's talk a bit about what got us to the point we're at right right now and in the work that, as always, we still have in front of us. We've been on a decade long mission on this. Believe it or not, this mission was to build the capabilities needed around the Lenox operating system to really build and make the hybrid cloud. When we saw well, first taking hold in the enterprise, we knew that was just taking the first step. Because for a platform to really succeed, you need applications running on it. And to get those applications on your platform, you have to enable developers with the tools and run times for them to build, to build upon. Over the years, we've closed a few, if not a lot of those gaps, starting with the acquisition of J. Boss many years ago, all the way to the new Cuban Eddie's native code ready workspaces we launched just a few months back. We realized very early on that building a developer friendly platform was critical to the success of Lennox and open source in the enterprise. Shortly after this, the public cloud stormed onto the scene while our first focus as a company was done on premise in customer data centers, the public cloud was really beginning to take hold. Rehl very quickly became the standard across public clouds, just as it was in the enterprise, giving customers that common operating platform to build their applications upon ensuring that those applications could move between locations without ever having to change their code or operating model. With this new model of the data center spread across so many multiple environments, management had to be completely re sought and re architected. And given the fact that environments spanned multiple locations, management, real solid management became even more important. Customers deploying in hybrid architectures had to understand where their applications were running in how they were running, regardless of which infrastructure provider they they were running on. We invested over the years with management right alongside the platform, from satellite in the early days to cloud forms to cloud forms, insights and now answerable. We focused on having management to support the platform wherever it lives. Next came data, which is very tightly linked toe applications. Enterprise class applications tend to create tons of data and to have a common operating platform foyer applications. You need a storage solutions. That's Justus, flexible as that platform able to run on premise. Just a CZ. Well, as in the cloud, even across multiple clouds. This let us tow acquisitions like bluster, SEF perma bitch in Nubia, complimenting our Pratt platform with red hat storage for us, even though this sounds very condensed, this was a decade's worth of investment, all in preparation for building the hybrid cloud. Expanding the portfolio to cover the areas that a customer would depend on to deploy riel hybrid cloud architectures, finding any finding an amplifying the right open source project and technologies, or filling the gaps with some of these acquisitions. When that necessarily wasn't available by twenty fourteen, our foundation had expanded, but one big challenge remained workload portability. Virtual machine formats were fragmented across the various deployments and higher level framework such as Java e still very much depended on a significant amount of operating system configuration and then containers happened containers, despite having a very long being in existence for a very long time. As a technology exploded on the scene in twenty fourteen, Cooper Netease followed shortly after in twenty fifteen, allowing containers to span multiple locations and in one fell swoop containers became the killer technology to really enable the hybrid cloud. And here we are. Hybrid is really the on ly practical reality in way for customers and a red hat. We've been investing in all aspects of this over the last eight plus years to make our customers and partners successful in this model. We've worked with you both our customers and our partners building critical realm in open shift deployments. We've been constantly learning about what has caused problems and what has worked well in many cases. And while we've and while we've amassed a pretty big amount of expertise to solve most any challenge in in any area that stack, it takes more than just our own learning's to build the next generation platform. Today we're also introducing open shit for which is the culmination of those learnings. This is the next generation of the application platform. This is truly a platform that has been built with our customers and not simply just with our customers in mind. This is something that could only be possible in an open source development model and just like relish the force multiplier for servers. Open shift is the force multiplier for data centers across the hybrid cloud, allowing customers to build thousands of containers and operate them its scale. And we've also announced open shift, and we've also announced azure open shift. Last night. Satya on this stage talked about that in depth. This is all about extending our goals of a common operating platform enabling applications across the hybrid cloud, regardless of whether you run it yourself or just consume it as a service. And with this flagship release, we are also introducing operators, which is the central, which is the central feature here. We talked about this work last year with the operator framework, and today we're not going to just show you today. We're not going to just show you open shift for we're going to show you operators running at scale operators that will do updates and patches for you, letting you focus more of your time and running your infrastructure and running running your business. We want to make all this easier and intuitive. So let's have a quick look at how we're doing. Just that >> painting. I know all of you have heard we're talking to pretend to new >> customers about the travel out. So new plan. Just open it up as a service been launched by this summer. Look, I know this is a big quest for not very big team. I'm open to any and all ideas. >> Please welcome back to the stage. Red Hat Global director of developer Experience burst Sutter with Jessica Forrester and Daniel McPherson. All right, we're ready to do some more now. Now. Earlier we showed you read Enterprise Clinic St running on lots of different hardware like this hardware you see right now And we're also running across multiple cloud providers. But now we're going to move to another world of Lennox Containers. This is where you see open shift four on how you can manage large clusters of applications from eggs limits containers across the hybrid cloud. We're going to see this is where suffer operators fundamentally empower human operators and especially make ups and Deb work efficiently, more efficiently and effectively there together than ever before. Rights. We have to focus on the stage right now. They're represent ops in death, and we're gonna go see how they reeled in application together. Okay, so let me introduce you to Dan. Dan is totally representing all our ops folks in the audience here today, and he's telling my ops, comfort person Let's go to call him Mr Ops. So Dan, >> thanks for with open before, we had a much easier time setting up in maintaining our clusters. In large part, that's because open shit for has extended management of the clusters down to the infrastructure, the diversity kinds of parent. When you take >> a look at the open ship console, >> you can now see the machines that make up the cluster where machine represents the infrastructure. Underneath that Cooper, Eddie's node open shit for now handles provisioning Andy provisioning of those machines. From there, you could dig into it open ship node and see how it's configured and monitor how it's behaving. So >> I'm curious, >> though it does this work on bare metal infrastructure as well as virtualized infrastructure. >> Yeah, that's right. Burn So Pa Journal nodes, no eternal machines and open shit for can now manage it all. Something else we found extremely useful about open ship for is that it now has the ability to update itself. We can see this cluster hasn't update available and at the press of a button. Upgrades are responsible for updating. The entire platform includes the nodes, the control plane and even the operating system and real core arrests. All of this is possible because the infrastructure components and their configuration is now controlled by technology called operators. Thes software operators are responsible for aligning the cluster to a desired state. And all of this makes operational management of unopened ship cluster much simpler than ever before. All right, I >> love the fact that all that's been on one console Now you can see the full stack right all way down to the bare metal right there in that one console. Fantastic. So I wanted to scare us for a moment, though. And now let's talk to Deva, right? So Jessica here represents our all our developers in the room as my facts. He manages a large team of developers here Red hat. But more importantly, she represents our vice president development and has a large team that she has to worry about on a regular basis of Jessica. What can you show us? We'LL burn My team has hundreds of developers and were constantly under pressure to deliver value to our business. And frankly, we can't really wait for Dan and his ops team to provisioned the infrastructure and the services that we need to do our job. So we've chosen open shift as our platform to run our applications on. But until recently, we really struggled to find a reliable source of Cooper Netease Technologies that have the operational characteristics that Dan's going to actually let us install through the cluster. But now, with operator, How bio, we're really seeing the V ecosystem be unlocked. And the technology's there. Things that my team needs, its databases and message cues tracing and monitoring. And these operators are actually responsible for complex applications like Prometheus here. Okay, they're written in a variety of languages, danceable, but that is awesome. So I do see a number of options there already, and preaches is a great example. But >> how do you >> know that one? These operators really is mature enough and robust enough for Dan and the outside of the house. Wilbert, Here we have the operator maturity model, and this is going to tell me and my team whether this particular operator is going to do a basic install if it's going to upgrade that application over time through different versions or all the way out to full auto pilot, where it's automatically scaling and tuning the application based on the current environment. And it's very cool. So coming over toothy open shift Consul, now we can actually see Dan has made the sequel server operator available to me and my team. That's the database that we're using. A sequel server. That's a great example. So cynics over running here in the cluster? But this is a great example for a developer. What if I want to create a new secret server instance? Sure, we're so it's as easy as provisioning any other service from the developer catalog. We come in and I can type for sequel server on what this is actually creating is, ah, native resource called Sequel Server, and you can think of that like a promise that a sequel server will get created. The operator is going to see that resource, install the application and then manage it over its life cycle, KAL, and from this install it operators view, I can see the operators running in my project and which resource is its managing Okay, but I'm >> kind of missing >> something here. I see this custom resource here, the sequel server. But where the community's resource is like pods. Yeah, I think it's cool that we get this native resource now called Sequel Server. But if I need to, I can still come in and see the native communities. Resource is like your staple set in service here. Okay, that is fantastic. Now, we did say earlier on, though, like many of our customers in the audience right now, you have a large team of engineers. Lost a large team of developers you gotta handle. You gotta have more than one secret server, right? We do one for every team as we're developing, and we use a lot of other technologies running on open shift as well, including Tomcat and our Jenkins pipelines and our dough js app that is gonna actually talk to that sequel server database. Okay, so this point we can kind of provisions, Some of these? Yes. Oh, since all of this is self service for me and my team's, I'm actually gonna go and create one of all of those things I just said on all of our projects, right Now, if you just give me a minute, Okay? Well, right. So basically, you're going to knock down No Jazz Jenkins sequel server. All right, now, that's like hundreds of bits of application level infrastructure right now. Live. So, Dan, are you not terrified? Well, I >> guess I should have done a little bit better >> job of managing guests this quota and historically just can. I might have had some conflict here because creating all these new applications would admit my team now had a massive back like tickets to work on. But now, because of software operators, my human operators were able to run our infrastructure at scale. So since I'm long into the cluster here as the cluster admin, I get this view of pods across all projects. And so I get an idea of what's happening across the entire cluster. And so I could see now we have four hundred ninety four pods already running, and there's a few more still starting up. And if I scroll to the list, we can see the different workloads Jessica just mentioned of Tomcats. And no Gs is And Jenkins is and and Siegel servers down here too, you know, I see continues >> creating and you have, like, close to five hundred pods running >> there. So, yeah, filters list down by secret server, so we could just see. Okay, But >> aren't you not >> running going around a cluster capacity at some point? >> Actually, yeah, we we definitely have a limited capacity in this cluster. And so, luckily, though, we already set up auto scale er's And so because the additional workload was launching, we see now those outer scholars have kicked in and some new machines are being created that don't yet have noticed. I'm because they're still starting up. And so there's another good view of this as well, so you can see machine sets. We have one machine set per availability zone, and you could see the each one is now scaling from ten to twelve machines. And the way they all those killers working is for each availability zone, they will. If capacities needed, they will add additional machines to that availability zone and then later effect fast. He's no longer needed. It will automatically take those machines away. >> That is incredible. So right now we're auto scaling across multiple available zones based on load. Okay, so looks like capacity planning and automation is fully, you know, handle this point. But I >> do have >> another question for year logged in. Is the cluster admin right now into the console? Can you show us your view of >> operator suffer operators? Actually, there's a couple of unique views here for operators, for Cluster admits. The first of those is operator Hub. This is where a cluster admin gets the ability to curate the experience of what operators are available to users of the cluster. And so obviously we already have the secret server operator installed, which which we've been using. The other unique view is operator management. This gives a cluster I've been the ability to maintain the operators they've already installed. And so if we dig in and see the secret server operator, well, see, we haven't set up for manual approval. And what that means is if a new update comes in for a single server, then a cluster and we would have the ability to approve or disapprove with that update before installs into the cluster, we'LL actually and there isn't upgrade that's available. Uh, I should probably wait to install this, though we're in the middle of scaling out this cluster. And I really don't want to disturb Jessica's application. Workflow. >> Yeah, so, actually, Dan, it's fine. My app is already up. It's running. Let me show it to you over here. So this is our products application that's talking to that sequel server instance. And for debugging purposes, we can see which version of sequel server we're currently talking to. Its two point two right now. And then which pod? Since this is a cluster, there's more than one secret server pod we could be connected to. Okay, I could see right there the bounder screeners they know to point to. That's the version we have right now. But, you know, >> this is kind of >> point of software operators at this point. So, you know, everyone in this room, you know, wants to see you hit that upgrade button. Let's do it. Live here on stage. Right, then. All >> right. All right. I could see where this is going. So whenever you updated operator, it's just like any other resource on communities. And so the first thing that happens is the operator pot itself gets updated so we actually see a new version of the operator is currently being created now, and what's that gets created, the overseer will be terminated. And that point, the new, softer operator will notice. It's now responsible for managing lots of existing Siegel servers already in the environment. And so it's then going Teo update each of those sickle servers to match to the new version of the single server operator and so we could see it's running. And so if we switch now to the all projects view and we filter that list down by sequel server, then we should be able to see us. So lots of these sickle servers are now being created and the old ones are being terminated. So is the rolling update across the cluster? Exactly a So the secret server operator Deploy single server and an H A configuration. And it's on ly updates a single instance of secret server at a time, which means single server always left in nature configuration, and Jessica doesn't really have to worry about downtime with their applications. >> Yeah, that's awesome dance. So glad the team doesn't have to worry about >> that anymore and just got I think enough of these might have run by Now, if you try your app again might be updated. >> Let's see Jessica's application up here. All right. On laptop three. >> Here we go. >> Fantastic. And yet look, we're We're into two before we're onto three. Now we're on to victory. Excellent on. >> You know, I actually works so well. I don't even see a reason for us to leave this on manual approval. So I'm going to switch this automatic approval. And then in the future, if a new single server comes in, then we don't have to do anything, and it'll be all automatically updated on the cluster. >> That is absolutely fantastic. And so I was glad you guys got a chance to see that rolling update across the cluster. That is so cool. The Secret Service database being automated and fully updated. That is fantastic. Alright, so I can see how a software operator doesn't able. You don't manage hundreds if not thousands of applications. I know a lot of folks or interest in the back in infrastructure. Could you give us an example of the infrastructure >> behind this console? Yeah, absolutely. So we all know that open shift is designed that run in lots of different environments. But our teams think that as your redhead over, Schiff provides one of the best experiences by deeply integrating the open chief Resource is into the azure console, and it's even integrated into the azure command line toll and the easy open ship man. And, as was announced yesterday, it's now available for everyone to try out. And there's actually one more thing we wanted to show Everyone related to open shit, for this is all so new with a penchant for which is we now have multi cluster management. This gives you the ability to keep track of all your open shift environments, regardless of where they're running as well as you can create new clusters from here. And I'll dig into the azure cluster that we were just taking a look at. >> Okay, but is this user and face something have to install them one of my existing clusters? >> No, actually, this is the host of service that's provided by Red hat is part of cloud that redhead that calm and so all you have to do is log in with your red hair credentials to get access. >> That is incredible. So one console, one user experience to see across the entire hybrid cloud we saw earlier with Red update. Right and red embers. Thank Satan. Now we see it for multi cluster management. But home shift so you can fundamentally see. Now the suffer operators do finally change the game when it comes to making human operators vastly more productive and, more importantly, making Devon ops work more efficiently together than ever before. So we saw the rich ice vehicle system of those software operators. We can manage them across the Khyber Cloud with any, um, shift instance. And more importantly, I want to say Dan and Jessica for helping us with this demonstration. Okay, fantastic stuff, guys. Thank you so much. Let's get Paul back out here >> once again. Thanks >> so much to burn his team. Jessica and Dan. So you've just seen how open shift operators can help you manage hundreds, even thousands of applications. Install, upgrade, remove nodes, control everything about your application environment, virtual physical, all the way out to the cloud making, making things happen when the business demands it even at scale, because that's where it's going to get. Our next guest has lots of experience with demand at scale. and they're using open source container management to do it. Their work, their their their work building a successful cloud, First platform and there, the twenty nineteen Innovation Award winner. >> Please welcome twenty nineteen Innovation Award winner. Cole's senior vice president of technology, Rich Hodak. >> How you doing? Thanks. >> Thanks so much for coming out. We really appreciate it. So I guess you guys set some big goals, too. So can you baby tell us about the bold goal? Helped you personally help set for Cole's. And what inspired you to take that on? Yes. So it was twenty seventeen and life was pretty good. I had no gray hair and our business was, well, our tech was working well, and but we knew we'd have to do better into the future if we wanted to compete. Retails being disrupted. Our customers are asking for new experiences, So we set out on a goal to become an open hybrid cloud platform, and we chose Red had to partner with us on a lot of that. We set off on a three year journey. We're currently in Year two, and so far all KP eyes are on track, so it's been a great journey thus far. That's awesome. That's awesome. So So you Obviously, Obviously you think open source is the way to do cloud computing. So way absolutely agree with you on that point. So So what? What is it that's convinced you even more along? Yeah, So I think first and foremost wait, do we have a lot of traditional IAS fees? But we found that the open source partners actually are outpacing them with innovation. So I think that's where it starts for us. Um, secondly, we think there's maybe some financial upside to going more open source. We think we can maybe take some cost out unwind from these big fellas were in and thirdly, a CZ. We go to universities. We started hearing. Is we interviewed? Hey, what is Cole's doing with open source and way? Wanted to use that as a lever to help recruit talent. So I'm kind of excited, you know, we partner with Red Hat on open shift in in Rail and Gloucester and active M Q and answerable and lots of things. But we've also now launched our first open source projects. So it's really great to see this journey. We've been on. That's awesome, Rich. So you're in. You're in a high touch beta with with open shift for So what? What features and components or capabilities are you most excited about and looking forward to what? The launch and you know, and what? You know what? What are the something maybe some new goals that you might be able to accomplish with with the new features. And yeah, So I will tell you we're off to a great start with open shift. We've been on the platform for over a year now. We want an innovation award. We have this great team of engineers out here that have done some outstanding work. But certainly there's room to continue to mature that platform. It calls, and we're excited about open shift, for I think there's probably three things that were really looking forward to. One is we're looking forward to, ah, better upgrade process. And I think we saw, you know, some of that in the last demo. So upgrades have been kind of painful up until now. So we think that that that will help us. Um, number two, A lot of our open shift workloads today or the workloads. We run an open shifts are the stateless apse. Right? And we're really looking forward to moving more of our state full lapse into the platform. And then thirdly, I think that we've done a great job of automating a lot of the day. One stuff, you know, the provisioning of, of things. There's great opportunity o out there to do mohr automation for day two things. So to integrate mohr with our messaging systems in our database systems and so forth. So we, uh we're excited. Teo, get on board with the version for wear too. So, you know, I hope you, Khun, we can help you get to the next goals and we're going to continue to do that. Thank you. Thank you so much rich, you know, all the way from from rail toe open shift. It's really exciting for us, frankly, to see our products helping you solve World War were problems. What's you know what? Which is. Really? Why way do this and and getting into both of our goals. So thank you. Thank you very much. And thanks for your support. We really appreciate it. Thanks. It has all been amazing so far and we're not done. A critical part of being successful in the hybrid cloud is being successful in your data center with your own infrastructure. We've been helping our customers do that in these environments. For almost twenty years now, we've been running the most complex work loads in the world. But you know, while the public cloud has opened up tremendous possibilities, it also brings in another type of another layer of infrastructure complexity. So what's our next goal? Extend your extend your data center all the way to the edge while being as effective as you have been over the last twenty twenty years, when it's all at your own fingertips. First from a practical sense, Enterprises air going to have to have their own data centers in their own environment for a very long time. But there are advantages of being able to manage your own infrastructure that expand even beyond the public cloud all the way out to the edge. In fact, we talked about that very early on how technology advances in computer networking is storage are changing the physical boundaries of the data center every single day. The need, the need to process data at the source is becoming more and more critical. New use cases Air coming up every day. Self driving cars need to make the decisions on the fly. In the car factory processes are using a I need to adapt in real time. The factory floor has become the new edge of the data center, working with things like video analysis of a of A car's paint job as it comes off the line, where a massive amount of data is on ly needed for seconds in order to make critical decisions in real time. If we had to wait for the video to go up to the cloud and back, it would be too late. The damage would have already been done. The enterprise is being stretched to be able to process on site, whether it's in a car, a factory, a store or in eight or nine PM, usually involving massive amounts of data that just can't easily be moved. Just like these use cases couldn't be solved in private cloud alone because of things like blatant see on data movement, toe address, real time and requirements. They also can't be solved in public cloud alone. This is why open hybrid is really the model that's needed in the only model forward. So how do you address this class of workload that requires all of the above running at the edge? With the latest technology all its scale, let me give you a bit of a preview of what we're working on. We are taking our open hybrid cloud technologies to the edge, Integrated with integrated with Aro AM Hardware Partners. This is a preview of a solution that will contain red had open shift self storage in K V M virtual ization with Red Hat Enterprise Lennox at the core, all running on pre configured hardware. The first hardware out of the out of the gate will be with our long time. Oh, am partner Del Technologies. So let's bring back burn the team to see what's right around the corner. >> Please welcome back to the stage. Red Hat. Global director of developer Experience burst Sutter with Kareema Sharma. Okay, We just how was your Foreign operators have redefined the capabilities and usability of the open hybrid cloud, and now we're going to show you a few more things. Okay, so just be ready for that. But I know many of our customers in this audience right now, as well as the customers who aren't even here today. You're running tens of thousands of applications on open chef clusters. We know that disappearing right now, but we also know that >> you're not >> actually in the business of running terminators clusters. You're in the business of oil and gas from the business retail. You're in a business transportation, you're in some other business and you don't really want to manage those things at all. We also know though you have lo latest requirements like Polish is talking about. And you also dated gravity concerns where you >> need to keep >> that on your premises. So what you're about to see right now in this demonstration is where we've taken open ship for and made a bare metal cluster right here on this stage. This is a fully automated platform. There is no underlying hyper visor below this platform. It's open ship running on bare metal. And this is your crew vanities. Native infrastructure, where we brought together via mes containers networking and storage with me right now is green mush arma. She's one of her engineering leaders responsible for infrastructure technologies. Please welcome to the stage, Karima. >> Thank you. My pleasure to be here, whether it had summit. So let's start a cloud. Rid her dot com and here we can see the classroom Dannon Jessica working on just a few moments ago From here we have a bird's eye view ofthe all of our open ship plasters across the hybrid cloud from multiple cloud providers to on premises and noticed the spare medal last year. Well, that's the one that my team built right here on this stage. So let's go ahead and open the admin console for that last year. Now, in this demo, we'LL take a look at three things. A multi plaster inventory for the open Harbor cloud at cloud redhead dot com. Second open shift container storage, providing convert storage for virtual machines and containers and the same functionality for cloud vert and bare metal. And third, everything we see here is scuba unit is native, so by plugging directly into communities, orchestration begin common storage. Let working on monitoring facilities now. Last year, we saw how continue native actualization and Q Bert allow you to run virtual machines on Cabinet is an open shift, allowing for a single converge platform to manage both containers and virtual machines. So here I have this dark net project now from last year behead of induced virtual machine running it S P darknet application, and we had started to modernize and continue. Arise it by moving. Parts of the application from the windows began to the next containers. So let's take a look at it here. I have it again. >> Oh, large shirt, you windows. Earlier on, I was playing this game back stage, so it's just playing a little solitaire. Sorry about that. >> So we don't really have time for that right now. Birds. But as I was saying, Over here, I have Visions Studio Now the window's virtual machine is just another container and open shift and the i d be service for the virtual machine. It's just another service in open shift open shifts. Running both containers and virtual machines together opens a whole new world of possibilities. But why stop there? So this here be broadened to come in. It is native infrastructure as our vision to redefine the operation's off on premises infrastructure, and this applies to all matters of workloads. Using open shift on metal running all the way from the data center to the edge. No by your desk, right to main benefits. Want to help reduce the operation casts And second, to help bring advance good when it is orchestration concept to your infrastructure. So next, let's take a look at storage. So open shift container storage is software defined storage, providing the same functionality for both the public and the private lads. By leveraging the operator framework, open shift container storage automatically detects the available hardware configuration to utilize the discs in the most optimal vein. So then adding my note, you don't have to think about how to balance the storage. Storage is just another service running an open shift. >> And I really love this dashboard quite honestly, because I love seeing all the storage right here. So I'm kind of curious, though. Karima. What kind of storage would you What, What kind of applications would you use with the storage? >> Yeah, so this is the persistent storage. To be used by a database is your files and any data from applications such as a Magic Africa. Now the A Patrick after operator uses school, been at this for scheduling and high availability, and it uses open shift containers. Shortest. Restore the messages now Here are on premises. System is running a caf co workload streaming sensor data on DH. We want toe sort it and act on it locally, right In a minute. A place where maybe we need low latency or maybe in a data lake like situation. So we don't want to send the starter to the cloud. Instead, we want to act on it locally, right? Let's look at the griffon a dashboard and see how our system is doing so with the incoming message rate of about four hundred messages for second, the system seems to be performing well, right? I want to emphasize this is a fully integrated system. We're doing the testing An optimization sze so that the system can Artoo tune itself based on the applications. >> Okay, I love the automated operations. Now I am a curious because I know other folks in the audience want to know this too. What? Can you tell us more about how there's truly integrated communities can give us an example of that? >> Yes. Again, You know, I want to emphasize everything here is managed poorly by communities on open shift. Right. So you can really use the latest coolest to manage them. All right. Next, let's take a look at how easy it is to use K native with azure functions to script alive Reaction to a live migration event. >> Okay, Native is a great example. If actually were part of my breakout session yesterday, you saw me demonstrate came native. And actually, if you want to get hands on with it tonight, you can come to our guru night at five PM and actually get hands on like a native. So I really have enjoyed using K. Dated myself as a software developer. And but I am curious about the azure functions component. >> Yeah, so as your functions is a function is a service engine developed by Microsoft fully open source, and it runs on top of communities. So it works really well with our on premises open shift here. Right now, I have a simple azure function that I already have here and this azure function, you know, Let's see if this will send out a tweet every time we live My greater Windows virtual machine. Right. So I have it integrated with open shift on DH. Let's move a note to maintenance to see what happens. So >> basically has that via moves. We're going to see the event triggered. They trigger the function. >> Yeah, important point I want to make again here. Windows virtue in machines are equal citizens inside of open shift. We're investing heavily in automation through the use of the operator framework and also providing integration with the hardware. Right, So next, Now let's move that note to maintain it. >> But let's be very clear here. I wanna make sure you understand one thing, and that is there is no underlying virtual ization software here. This is open ship running on bear. Meddle with these bare metal host. >> That is absolutely right. The system can automatically discover the bare metal hosts. All right, so here, let's move this note to maintenance. So I start them Internets now. But what will happen at this point is storage will heal itself, and communities will bring back the same level of service for the CAFTA application by launching a part on another note and the virtual machine belive my great right and this will create communities events. So we can see. You know, the events in the event stream changes have started to happen. And as a result of this migration, the key native function will send out a tweet to confirm that could win. It is native infrastructure has indeed done the migration for the live Ian. Right? >> See the events rolling through right there? >> Yeah. All right. And if we go to Twitter? >> All right, we got tweets. Fantastic. >> And here we can see the source Nord report. Migration has succeeded. It's a pretty cool stuff right here. No. So we want to bring you a cloud like experience, but this means is we're making operational ease a fuse as a top goal. We're investing heavily in encapsulating management knowledge and working to pre certify hardware configuration in working with their partners such as Dell, and they're dead already. Note program so that we can provide you guidance on specific benchmarks for specific work loads on our auto tuning system. >> All right, well, this is tow. I know right now, you're right thing, and I want to jump on the stage and check out the spare metal cluster. But you should not right. Wait After the keynote didn't. Come on, check it out. But also, I want you to go out there and think about visiting our partner Del and their booth where they have one. These clusters also. Okay, So this is where vmc networking and containers the storage all come together And a Kurban in his native infrastructure. You've seen right here on this stage, but an agreement. You have a bit more. >> Yes. So this is literally the cloud coming down from the heavens to us. >> Okay? Right here, Right now. >> Right here, right now. So, to close the loop, you can have your plaster connected to cloud redhead dot com for our insights inside reliability engineering services so that we can proactively provide you with the guidance through automated analyses of telemetry in logs and help flag a problem even before you notice you have it Beat software, hardware, performance, our security. And one more thing. I want to congratulate the engineers behind the school technology. >> Absolutely. There's a lot of engineers here that worked on this cluster and worked on the stack. Absolutely. Thank you. Really awesome stuff. And again do go check out our partner Dale. They're just out that door I can see them from here. They have one. These clusters get a chance to talk to them about how to run your open shift for on a bare metal cluster as well. Right, Kareema, Thank you so much. That was totally awesome. We're at a time, and we got to turn this back over to Paul. >> Thank you. Right. >> Okay. Okay. Thanks >> again. Burned, Kareema. Awesome. You know, So even with all the exciting capabilities that you're seeing, I want to take a moment to go back to the to the first platform tenant that we learned with rail, that the platform has to be developer friendly. Our next guest knows something about connecting a technology like open shift to their developers and part of their company. Wide transformation and their ability to shift the business that helped them helped them make take advantage of the innovation. Their Innovation award winner this year. Please, Let's welcome Ed to the stage. >> Please welcome. Twenty nineteen. Innovation Award winner. BP Vice President, Digital transformation. Ed Alford. >> Thanks, Ed. How your fake Good. So was full. Get right into it. What we go you guys trying to accomplish at BP and and How is the goal really important in mandatory within your organization? Support on everyone else were global energy >> business, with operations and over seventy countries. Andi. We've embraced what we call the jewel challenge, which is increasing the mind for energy that we have as individuals in the world. But we need to produce the energy with fuel emissions. It's part of that. One of our strategic priorities that we >> have is to modernize the whole group on. That means simplifying our processes and enhancing >> productivity through digital solutions. So we're using chlo based technologies >> on, more importantly, open source technologies to clear a community and say, the whole group that collaborates effectively and efficiently and uses our data and expertise to embrace the jewel challenge and actually try and help solve that problem. That's great. So So how did these heart of these new ways of working benefit your team and really the entire organ, maybe even the company as a whole? So we've been given the Innovation Award for Digital conveyor both in the way it was created and also in water is delivering a couple of guys in the audience poll costal and brewskies as he they they're in the team. Their teams developed that convey here, using our jail and Dev ops and some things. We talk about this stuff a lot, but actually the they did it in a truly our jail and develops we, um that enabled them to experiment and walking with different ways. And highlight in the skill set is that we, as a group required in order to transform using these approaches, we can no move things from ideation to scale and weeks and days sometimes rather than months. Andi, I think that if we can take what they've done on DH, use more open source technology, we contain that technology and apply across the whole group to tackle this Jill challenge. And I think that we use technologists and it's really cool. I think that we can no use technology and open source technology to solve some of these big challenges that we have and actually just preserve the planet in a better way. So So what's the next step for you guys at BP? So moving forward, we we are embracing ourselves, bracing a clothed, forced organization. We need to continue to live to deliver on our strategy, build >> over the technology across the entire group to address the jewel >> challenge and continue to make some of these bold changes and actually get into and really use. Our technology is, I said, too addresses you'LL challenge and make the future of our planet a better place for ourselves and our children and our children's children. That's that's a big goal. But thank you so much, Ed. Thanks for your support. And thanks for coming today. Thank you very much. Thank you. Now comes the part that, frankly, I think his best part of the best part of this presentation We're going to meet the type of person that makes all of these things a reality. This tip this type of person typically works for one of our customers or with one of with one of our customers as a partner to help them make the kinds of bold goals like you've heard about today and the ones you'll hear about Maura the way more in the >> week. I think the thing I like most about it is you feel that reward Just helping people I mean and helping people with stuff you enjoy right with computers. My dad was the math and science teacher at the local high school. And so in the early eighties, that kind of met here, the default person. So he's always bringing in a computer stuff, and I started a pretty young age. What Jason's been able to do here is Mohr evangelize a lot of the technologies between different teams. I think a lot of it comes from the training and his certifications that he's got. He's always concerned about their experience, how easy it is for them to get applications written, how easy it is for them to get them up and running at the end of the day. We're a loan company, you know. That's way we lean on accounting like red. That's where we get our support front. That's why we decided to go with a product like open shift. I really, really like to product. So I went down. The certification are out in the training ground to learn more about open shit itself. So my daughter's teacher, they were doing a day of coding, and so they asked me if I wanted to come and talk about what I do and then spend the day helping the kids do their coding class. The people that we have on our teams, like Jason, are what make us better than our competitors, right? Anybody could buy something off the shelf. It's people like him. They're able to take that and mold it into something that then it is a great offering for our partners and for >> customers. Please welcome Red Hat Certified Professional of the Year Jason Hyatt. >> Jason, Congratulations. Congratulations. What a what a big day, huh? What a really big day. You know, it's great. It's great to see such work, You know that you've done here. But you know what's really great and shows out in your video It's really especially rewarding. Tow us. And I'm sure to you as well to see how skills can open doors for for one for young women, like your daughters who already loves technology. So I'd liketo I'd like to present this to you right now. Take congratulations. Congratulations. Good. And we I know you're going to bring this passion. I know you bring this in, everything you do. So >> it's this Congratulations again. Thanks, Paul. It's been really exciting, and I was really excited to bring my family here to show the experience. It's it's >> really great. It's really great to see him all here as well going. Maybe we could you could You guys could stand up. So before we leave before we leave the stage, you know, I just wanted to ask, What's the most important skill that you'LL pass on from all your training to the future generations? >> So I think the most important thing is you have to be a continuous learner you can't really settle for. Ah, you can't be comfortable on learning, which I already know. You have to really drive a continuous Lerner. And of course, you got to use the I ninety. Maxwell. Quite. >> I don't even have to ask you the question. Of course. Right. Of course. That's awesome. That's awesome. And thank you. Thank you for everything, for everything that you're doing. So thanks again. Thank you. You know what makes open source work is passion and people that apply those considerable talents that passion like Jason here to making it worked and to contribute their idea there. There's back. And believe me, it's really an impressive group of people. You know you're family and especially Berkeley in the video. I hope you know that the redhead, the certified of the year is the best of the best. The cream of the crop and your dad is the best of the best of that. So you should be very, very happy for that. I also and I also can't wait. Teo, I also can't wait to come back here on this stage ten years from now and present that same award to you. Berkeley. So great. You should be proud. You know, everything you've heard about today is just a small representation of what's ahead of us. We've had us. We've had a set of goals and realize some bold goals over the last number of years that have gotten us to where we are today. Just to recap those bold goals First bait build a company based solely on open source software. It seems so logical now, but it had never been done before. Next building the operating system of the future that's going to run in power. The enterprise making the standard base platform in the op in the Enterprise Olympics based operating system. And after that making hybrid cloud the architecture of the future make hybrid the new data center, all leading to the largest software acquisition in history. Think about it around us around a company with one hundred percent open source DNA without. Throughout. Despite all the fun we encountered over those last seventeen years, I have to ask, Is there really any question that open source has won? Realizing our bold goals and changing the way software is developed in the commercial world was what we set out to do from the first day in the Red Hat was born. But we only got to that goal because of you. Many of you contributors, many of you knew toe open source software and willing to take the risk along side of us and many of partners on that journey, both inside and outside of Red Hat. Going forward with the reach of IBM, Red hat will accelerate. Even Mohr. This will bring open source general innovation to the next generation hybrid data center, continuing on our original mission and goal to bring open source technology toe every corner of the planet. What I what I just went through in the last hour Soul, while mind boggling to many of us in the room who have had a front row seat to this overto last seventeen plus years has only been red hats. First step. Think about it. We have brought open source development from a niche player to the dominant development model in software and beyond. Open Source is now the cornerstone of the multi billion dollar enterprise software world and even the next generation hybrid act. Architecture would not even be possible without Lennox at the core in the open innovation that it feeds to build around it. This is not just a step forward for software. It's a huge leap in the technology world beyond even what the original pioneers of open source ever could have imagined. We have. We have witnessed open source accomplished in the last seventeen years more than what most people will see in their career. Or maybe even a lifetime open source has forever changed the boundaries of what will be possible in technology in the future. And in the one last thing to say, it's everybody in this room and beyond. Everyone outside continue the mission. Thanks have a great sum. It's great to see it

>> live from Orlando, Florida It's the que covering accelerate nineteen. Brought to you by important >> Hey, welcome back to the Cube. We are live at forty nine. Accelerate nineteen in Orlando, Florida I am Lisa Martin with Peter Births, and Peter and I are pleased to welcome one of our alumni back to the program during Mickey, the chief of security insights for forty nine. Derek. It's great to have you back on the program, >> so it's always a pleasure to be here. It's tze always good conversations. I really look forward to it and it's It's never a boring day in my office, so we're than happy to talk about this. >> Fantastic. Excellent. Well, we've been here for a few hours, talking with a lot of your leaders. Partners as well. The keynote this morning was energetic. Talked a lot about the evocation, talked a lot about the evolution of not just security and threat, but obviously of infrastructure, multi cloud hybrid environment in which we live. You have been with forty girl lives for a long time. Talk to us about the evolution that you've seen of the threat landscape and where we are today. >> Sure, Yeah, so you know? Yeah, I've been fifteen years now, forty guards. So I flashed back. Even a two thousand, for it was a vastly different landscape back there and Internet and even in terms of our security technology in terms of what the attack surface was like back then, you know, Ken Kennedy was talking about EJ computing, right? Because that's what you know. Seventy percent of data is not going to be making it to the cloud in the future. A lot of processing is happening on the edge on DH. Threats are migrating that way as well, right? But there's always this mirror image that we see with the threat landscape again. Threat landscape. Back in nineteen eighty nine, we started with the Morris Worm is very simple instructions. It took down about eighty percent of the Internet at the time, but he was It is very simple. It wasn't to quote unquote intelligence, right? Of course, if we look through the two thousands, we had a lot of these big worms that hit the scene like Conficker. I love you, Anna Kournikova. Blaster slammer. All these famous rooms I started Teo become peer to peer, right? So they were able to actually spread from network to network throughout organizations take down critical services and so forth. That was a big evolutionary piece at the time. Of course, we saw fake anti virus ransomware. Come on stage last. Whereas I called it, which was destructive Mauer That was a big shift that we saw, right? So actually physically wiping out data on systems these air typically in like star but warfare based attacks. And that takes us up to today, right? And what we're seeing today, of course, we're still seeing a lot of ransom attacks, but we're starting to see a big shift in technology because of this edge computing used case. So we're seeing now things like Swarm networks have talked about before us. So these are not only like we saw in the two thousand's threats that could shift very quickly from network to network talk to each other, right? In terms of worms and so forth. We're also seeing now in intelligence baked in. And that's a key difference in technology because these threats are actually able, just like machine to machine. Communication happens through a pea eye's protocols and so forth threats are able to do this a swell. So they ableto understand their own local environment and how to adapt to that local environment and capitalized on that effort on DH. That's a very, very big shift in terms of technology that we're seeing now the threat landscape. >> So a lot of those old threats were depending upon the action of a human being, right? So in many respects, the creativity was a combination of Can you spook somebody make it interesting so that they'll do something that was always creativity in the actual threat itself. What you're describing today is a world where it's almost like automated risk. We're just as we're trying to do automation to dramatically increase the speed of things, reduce the amount of manual intervention. The bad guy's doing the same thing with the swarms there, introducing technology that is almost an automated attack and reconfigures itself based on whatever environment, conditions of encounters. >> Yeah, and the interesting thing is, what's happening here is we're seeing a reduction in what I call a t t be a time to breach. So if you look at the attack lifecycle, everything does doesn't happen in the blink of an instant it's moving towards that right? But if you look at the good, this's what's to come. I mean, we're seeing a lot of indications of this already. So we work very closely with Miter, the minor attack framework. It describes different steps for the attack life cycle, right? You start with reconnaissance weaponization and how do you penetrator system moving the system? Collect data monetize out as a cyber criminal. So even things like reconnaissance and weaponization. So if you look at fishing campaigns, right, people trying to fish people using social engineering, understanding data points about them that's becoming automated, that you sought to be a human tryingto understand their target, try toe fish them so they could get access to their network. There's tool kits now that will actually do that on their own by learning about data points. So it's scary, yes, but we are seeing indications of that. And and look, the endgame to this is that the attacks were happening much, much quicker. So you've got to be on your game. You have to be that much quicker from the defensive point of view, of course, because otherwise, if successful breach happens, you know we're talking about some of these attacks. They could. They could be successful in matter of seconds or or minutes instead of days or hours like before. You know, we're talking about potentially millions dollars of revenue loss, you know, services. They're being taken out flying intellectual properties being reached. So far, >> though. And this is, you know, I think of health care alone and literally life and death situations. Absolutely. How is Fortinet, with your ecosystem of partners poised to help customers mitigate some of these impending risk changing risk >> coverage? Strengthen numbers. Right. So we have, ah, strong ecosystem, of course, through our public ready program. So that's a technology piece, right? And to end security, how we can integrate how we can use automation to, you know, push security policies instead of having an administrator having to do that. Humans are slow a lot of the time, so you need machine to machine speed. It's our fabric ready program. You know, we have over fifty seven partners there. It's very strong ecosystem. From my side of the House on Threat Intelligence. I had up our global threat alliances, right? So we are working with other security experts around the World Cyberthreat Alliance is a good example. We've created intelligence sharing platforms so that we can share what we call indicators of compromise. So basically, blueprints are fingerprints. You can call them of attacks as they're happening in real time. We can share that world wide on a platform so that we can actually get a heads up from other security vendors of something that we might not see on. We can integrate that into our security fabric in terms of adding new, new, you know, intelligence definitions, security packages and so forth. And that's a very powerful thing. Beyond that, I've also created other alliances with law enforcement. So we're working with Interpol that's attribution Base work right that's going after the source of the problem. Our end game is to make it more expensive for cyber criminals to operate. And so we're doing that through working with Interpol on law enforcement. As an example, we're also working with national computer emergency response, so ripping malicious infrastructure off line, that's all about partnership, right? So that's what I mean strengthen numbers collaboration. It's It's a very powerful thing, something close to my heart that I've been building up over over ten years. And, you know, we're seeing a lot of success and impact from it, I think. >> But some of the, uh if you go back and look at some of the old threats that were very invasive, very problematic moved relatively fast, but they were still somewhat slow. Now we're talking about a new class of threat that happens like that. It suggests that the arrangement of assets but a company like Ford and that requires to respond and provide valued customers has to change. Yes, talk a little about how not just the investment product, but also the investment in four guard labs is evolving. You talked about partnerships, for example, to ensure that you have the right set of resources able to be engaged in the right time and applied to the right place with the right automation. Talk about about that. >> Sure, sure. So because of the criticality of this nature way have to be on point every day. As you said, you mentioned health care. Operational technology is a big thing as well. You know, Phyllis talking about sci fi, a swell right. The cyber physical convergence so way have to be on our game and on point and how do we do that? A couple of things. One we need. People still way. Can't you know Ken was talking about his his speech in Davos at the World Economic Forum with three to four million people shortage in cyber security of professionals There's never going to be enough people. So what we've done strategically is actually repositioned our experts of forty guard labs. We have over two hundred thirty five people in forty guard lab. So as a network security vendor, it's the largest security operation center in the world. But two hundred thirty five people alone are going to be able to battle one hundred billion threat events that we process today. Forty guard lab. So so what we've done, of course, is take up over the last five years. Machine learning, artificial intelligence. We have real practical applications of a I and machine learning. We use a supervised learning set so we actually have our machines learning about threats, and we have our human experts. Instead of tackling the threat's one on one themselves on the front lines, they let them in. The machine learning models do that and their training the machine. Just it's It's like a parent and child relationship. It takes time to learn a CZ machines learn. Over time they started to become more and more accurate. The only way they become more accurate is by our human experts literally being embedded with these machines and training them >> apart for suspended training. But also, there's assortment ation side, right? Yeah, we're increasing. The machines are providing are recognizing something and then providing a range of options. Thie security, professional in particular, doesn't have to go through the process of discovery and forensics to figure out everything. Absolution is presenting that, but also presenting potential remedial remediation options. Are you starting to see that become a regular feature? Absolutely, and especially in concert with your two hundred thirty five experts? >> Yeah, absolutely. And that's that's a necessity. So in my world, that's what I refer to is actionable intelligence, right? There's a lot of data out there. There's a lot of intelligence that the world's becoming data centric right now, but sometimes we don't have too much data. Askew Mons, a CZ analysts administrators so absolutely remediation suggestions and actually enforcement of that is the next step is well, we've already out of some features in in forty six two in our fabric to be able to deal with this. So where I think we're innovating and pioneering in the space, sir, it's it's ah, matter of trust. If you have the machines O R. You know, security technology that's making decisions on its own. You really have to trust that trust doesn't happen overnight. That's why for us, we have been investing in this for over six years now for our machine learning models that we can very accurate. It's been a good success story for us. I think. The other thing going back to your original question. How do we stack up against this? Of course, that whole edge computing use case, right? So we're starting to take that machine learning from the cloud environment also into local environments, right? Because a lot of that data is unique, its local environments and stays there. It stays there, and it has to be processed that such too. So that's another shift in technology as we move towards edge computing machine learning an artificial intelligence is absolutely part of that story, too. >> You mentioned strengthen numbers and we were talking about. You know, the opportunity for Fortinet to help customers really beat successful here. I wanted to go back to forty guard labs for a second because it's a very large numbers. One hundred billion security events. Forty Guard labs ingests and analyzes daily. Really? Yes, that is a differentiator. >> Okay, that that's a huge huge differentiator. So, again, if I look back to when I started in two thousand four, that number would have been about five hundred thousand events today, compared to one hundred billion today. In fact, even just a year ago, we were sitting about seventy five to eighty billion, so that numbers increased twenty billion and say twenty percent right in in just a year. So that's that's going to continue to happen. But it's that absolutely huge number, and it's a huge number because we have very big visibility, right. We have our four hundred thousand customers worldwide. We have built a core intelligence network for almost twenty years now, since for Deena was founded, you know, we we worked together with with customers. So if customers wish to share data about attacks that are happening because attackers are always coming knocking on doors. Uh, we can digest that. We can learn about the attacks. We know you know what weapons that these cybercriminals they're trying to use where the cybercriminals are. We learned more about the cyber criminals, so we're doing a lot of big data processing. I have a date, a science team that's doing this, in fact, and what we do is processes data. We understand the threat, and then we take a multi pronged approach. So we're consuming that data from automation were pushing that out first and foremost to our customers. So that's that automated use case of pushing protection from new threats that we're learning about were contextualizing the threat. So we're creating playbooks, so that playbook is much like football, right? You have to know your your your offense, right? And you have to know how to best understand their tactics. And so we're doing that right. We're mapping these playbooks understanding, tactics, understanding where these guys are, how they operate. We take that to law enforcement. As I was saying earlier as an example, we take that to the Cyber Threat Alliance to tow our other partners. And the more that we learn about this attack surface, the more that we can do in terms of protection as well. But it's it's a huge number. We've had a scale and our data center massively to be able to support this over the years. But we are poised for scale, ability for the future to be able to consume this on our anti. So it's it's, um it's what I said You know the start. It's never a boring day in my office. >> How can it be? But it sounds like, you know, really the potential there to enable customers. Any industry too convert Transport sees for transform Since we talked about digital transformation transformed from being reactive, to being proactive, to eventually predictive and >> cost effective to write, this's another thing without cybersecurity skills gap. You know this. The solution shouldn't be for any given customer to try. Toe have two hundred and thirty people in their security center, right? This is our working relationship where we can do a lot of that proactive automation for them, you know, by the fabric by the all this stuff that we're doing through our investment in efforts on the back end. I think it's really important to and yeah, at the end of the day, the other thing that we're doing with that data is generating human readable reports. So we're actually helping our customers at a high level understand the threat, right? So that they can actually create policies on their end to be able to respond to this right hard in their own security. I deal with things like inside of threats for their, you know, networks. These air all suggestions that we give them based off of our experience. You know, we issue our quarterly threat landscape report as an example, >> come into cubes. Some of your people come in the Cuban >> talk about absolutely so That's one product of that hundred billion events that were processing every day. But like I said, it's a multi pronged approach. We're doing a lot with that data, which, which is a great story. I think >> it is. I wish we had more time. Derek, Thank you so much for coming by. And never a dull moment. Never a dull interview when you're here. We appreciate your time. I can't wait to see what that one hundred billion number is. Next year. A forty nine twenty twenty. >> It will be more. I can get you. >> I sound like a well, Derek. Thank you so much. We appreciate it for Peter Burress. I'm Lisa Martin. You're watching the Cube?

>> Narrator: Live from San Juan, Puerto Rico. It's theCUBE. Covering Blockchain Unbound. Brought to you by Blockchain Industries. >> Hello and welcome back to theCUBE's exclusive coverage in Puerto Rico for Blockchain Unbound. This is where global event from Silicon Valley, New York, all around the world, investors, entrepreneurs, all coming together to build this industry. A lot of great conversations, a lot of conversations around Puerto Rico as a place to domicile all these great investments and companies. Obviously post-hurricane, lot of action here, lot of interest. Blockchain for good, crypto for good, also for money making. Our next guest is Scott Mize, who's with Network Society Labs. Welcome to theCUBE. >> Scott: Thank you. >> John: Good to see you again. >> You, too. >> You have a knack for being in real inflection-point markets. When we first met, almost 15 years ago in Silicon Valley, nanotech was a field that was a great track, it's doing great work, has great impact. We see each other around. Hey birds of a feather flock together. You're doing crypto, doing some work. Take a minute to talk about what you're doing Scott. What's the work? Network Society Lab, what's that about? >> Right. I guess we're both living on the bleeding edge. I'm the C.E.O. of Network Society Lab, and we're a venture development firm, so we provide the same services as an incubator or accelerator, but primarily for the portfolio companies of Network Society Ventures, which is another company that's in the Network Society keiretsu, which is headed by David Orban, who's speaking here today. >> Is that a investment group? Or is that more of an advisory service? >> The fund is a seed stage venture capital fund. >> John: The deploy capital. >> Yeah, that focuses on exponential technologies in decentralized networks, companies that are driven by that. We work with those companies to help them be successful. >> Great, so two different groups. >> Scott: Two different-- >> The lab team is get down and dirty help advisory, accelerate the mission? >> Right. And in that same keiretsu there's also Network Society Research, which is a think tank, and Network Society Media, which is a media company. >> All right so what are the things you're working on? Give us a taste of the kind of ventures and projects you're working on right now. Most of the work we're doing right now is what we call token sale management, and that's basically taking responsibility for executing a token sale from beginning to end, all of the activities, and bringing together service providers that are world-class in each one of the responsibilities that you need to be executed, in order to have a successful token event. We manage them the same way a general contractor in a construction environment manages subcontractors. >> Is that because there's too many moving parts? There's a lot of lawyerly going on, you got tax advice. Is that the reason? Or-- >> Why we structure it that way? >> Well we want to keep a lean internal staff, so we don't want to have a huge head count, and also this allows us to work with world-class people, like for instance, on two of the projects we're doing now, Michael Turpin's the P.R. guy, so that automatically means that among the team, there's over 50 ICO's under the belt, and it's the same for every service provider. They've done some significant number of these, and the combined experience, the combined capability, is really the best team you could get together in the world. >> So talk about the global impact of this, cause we were talking last night, we were saying, "Hey, you know, killer app is money." And that's what Blockchain, cryptocurrency, essentially decentralized apps are all going to have flowing through them. >> Scott: Right. >> Value creation, value capture with money is the killer app. What kind of projects you working on that go outside the U.S? And is it a global phenomenon? And what's your take on that? >> I'll give you a specific example, one example, which is called Wealth Migrate, and they have a coin called the WealthE coin, wealth with a capital E on the end, and what they are is a fractional real estate ownership company. So if you're someone who's in the emerging developing world, and you want to begin to build wealth, and you'd like to own a piece of first-world real estate in the U.S. or Australia or UK, you can go to this website, and today the minimum is about $1,000, but by implementing the Blockchain further, they want to eventually get down to $1, you can buy a piece of real estate and enjoy the returns on that. So this is closing the wealth gap, it's giving people who are just getting into the middle class the ability to own real estate and build wealth. >> What's going on in Puerto Rico here? If folks couldn't make it here, what's the dynamic here? Obviously the hurricane pretty much crushed the island. It's well documented, but the entrepreneurial culture here is coming together with outside ecosystem communities. What are you seeing here in Puerto Rico? What's your observation? >> Well it's actually a pretty fascinating experiment. Michael Turpin of the Transform Group has been living in Puerto Rico for quite some time, and he was kind of the Pied Piper, evangelizing this place, and saying, "Hey, this is a great place to come live, it's got a favorable tax structure, etcetera." And I think it's fantastic that the crypto community is essentially adopting Puerto Rico, and also moving here. All this activity is really going to give a shot in the arm to the Puerto Rican economy, and people are doing that very intentionally, as a way to give back and help to rebuild the island. >> So what do you say to the folks out there that say, "Well it's not just Puerto Rico, there's other domicile digital nations out there." I mean today the U.K. announced, or yesterday announced, that they are going to convert to Fiat currency, with a faster payment system, with Coinbase. It's a significant, radical move. So can Puerto Rico maintain a position, and countries like Bahrain which Amazon works with, you got Armenia, you got China, you got all these, Estonia. You have people who are jockeying for similar positions. Is it going to be a new digital nation sovereignty structure? >> I think Puerto Rico has a particular advantage in this part of the United States, so if you're a U.S. citizen, then this is the only place where you can go and stay in the U.S. and get this special treatment. So I think it's always going to have a little bit of a niche there, but this is truly a competitive environment. It's global, it's very competitive. There are certain nations that are very anti-crypto, like the United States for instance, and there are certain nations that embrace it. The one that we like best, and we're doing a couple of token sale events or ICO's, is Malta. And Malta has a history of creating a regulatory environment that's very favorable to things like financial services and iGaming, so doing digital currency is something that's a natural for them, and the government and the regulatory agencies are all in. So they're a competitor, and there are many others as you said, but I think that's all good because competition will bring down prices, spur innovation, etcetera, and that's fantastic. >> John: But regulatory posture and policy will be the gating factor for competitiveness for nations. >> Yeah, that's one of the major factors, It wouldn't be the only one, but absolutely. When you've got a situation where the regulators are saying, "Our mission in life is to have a light touch. We want it to be regulated, we don't want a lot of fraud going on, but we want to make it easy for you guys to be doing these things." It makes a huge difference. >> So what do you say to the folks out there that would say, "Okay you know, Michael Turpin, he's got so many ICO's, he's just pumping and dumping these things, he's got so many ICO's." He's a promoter, basically. He's not really-- >> Yeah I mean he started out as a P.R. firm. >> Yes. >> John: He's a P.R. firm. You got a P.R. firm as a leader in the industry. Some people will say, "Hey, I want to see Goldman Sachs come in. I want to see real players come in, I want to see more validation." The P.R. messaging is not going well, look at Brock Pierce, he got taken down by John Oliver. New York Times wrapped it up-- >> Scott: Bad timing. >> So you have a lot of kind of thud out there. >> Yeah, yes. >> So what do you say to that? What do people say to that? I have my own opinion, but I'll share it after you share yours. >> I mean just one observation is, you can tell a lot about a person's personality type by what their initial reaction is to cryptocurrency. It's almost like a Meyers-Briggs, right? >> Explain that. >> Well just in my experience, I've introduced the idea of crypto, or now that I'm in the field, a lot of people have approached me, friends. >> John: Who want to learn. >> Who want to learn but they come into it with certain biases, and for some reason, crypto really pokes at people's biases, and some people can't get over the fact that well, "Why does it have any value?" And I go, "Well, why does the United States dollar have any value?" I mean you've got full faith in credit of the government that's in debt by 20 trillion dollars, is that a good idea? But they don't understand-- >> What are some of the reactions you get? across the board what's the spectrum of reactions? You've got the one end which is fraud, it's bad-- >> Scott: It's got to be a scam. >> John: The next revolution is here. >> It's the entire spectrum. Again like I said, it has a lot to do with what people's personalities, If people are very conservative and skeptical, they're going to be conservative and skeptical about it, and look for the negative. If they're very innovative and cutting-edge and open to new ideas, they're going to think it's cool and interesting, and is an agent for change. >> Well a lot of people I talk to, and here's my opinion, I personally believe that you can't P.R. your way to industry momentum. That's the old way, so I'm down on the whole press release model, just pump and dump, and you're seeing a lot of that, and it's not just the Transform Group, it's just P.R. in general. There's also people misrepresentation. So to me that's a communication vehicle, not primary. The key is value creation. Which companies are creating value? Which one's communities are endorsing? Who has real communities? Who doesn't? So I think as investors come in, the thing that I'm hearing is, smart money saying, "I want quality deals, and I got to peel away the promotional layer, and look at the core data." >> Scott: Right. >> That seems to be a flight-to-quality right now in this market. >> There's a major flight-to-quality. We're probably in the third or fourth era of ICO's, and there is a flight-to-quality because people realize, what I call these deals are vaporware or field of dreams. These are the ones where there's really nothing there and it's, "give me $30 million, and I'll build this, I'll boil the ocean for you." That's why we like to work with companies like Wealth Migrate, because what they've done is, on relatively small capital, proven a business model and started a business, and now what they need is money to scale that model, and those are the ones that we prefer, and that's when people can look and say, "I can see that this business model's working, and that's where a lot of the risk is factored out, and now it's just about making that a bigger business." >> The thing I tell people is when you look at selecting service providers or partners, whether it's P.R., strategy, advisory, it's not so much the function. I'm against a P.R. angle, but let's take Transform Group, They have a great social network, so the signaling is, if they are involved, so it's about the network you're choosing, right? So to me it's not so much the functional P.R., or the functional advisory, it's really who's bringing the network effect, investors to the table, partners to the table? >> And that's good and bad actually, because you're talking about hype. There's no more fertile hype environment than social media. One of the things I find to be really scary, is that a proxy for the quality of the ICO is how many telegram followers does the chat group have, which I think is just insane. >> John: You can game that. >> Yeah. >> Well Scott, what are you working on now? What's next for you? What's some of the things that you see happening in the next year? >> Well we're just staying heads down, executing several of these token sales or ICO's, and that's what we're going to do. We're also going to get back to the original knitting, which was our mission, which is expand our venture-development services, so have a full palette of things that the startups from Network Society Ventures can choose from, so that we can help them make successful. >> Token economics is a critical decision every company has to make, >> Scott: Yes. >> And having advisory help is great. Thanks for sharing your opinion here on theCUBE. I'm John Furrier. Puerto Rico, for theCUBE's exclusive coverage of BlockChain Unbound. Back with more coverage after the short break. Thanks for watching. (upbeat music)

(futuristic music) >> Hello and welcome to theCUBE Studios here in Palo Alto, CA I'm John Furrier, co-host of theCUBE and co-founder of Silicon Angle Media, Inc. I'm joined here with Tom Joyce, Cube alumni. Some big news, new role as the CEO of Pensa. Welcome back to the Cube. You've been freelancing out there as an entrepreneur in residence, CEO in residence, you've been on theCUBE commentating. Great to see you. >> Good to see you, too. Thanks for having me back. You know, fully employed. >> Congratulations. You know, finding where you land is really critical. I've talked to a lot of friends, and they want to get a good fit in a gig, they want to have a good team to work with it's a cultural issue, but also you want to sink your teeth into something good, so you found Pensa. You're the CEO now of the company and you've got some news which we'll get to in a minute, but what's going on? Why the change, why these guys? >> You know, last time we talked, last time I was in here, I was running a consulting business, and I did that for almost a year so that I could look at a lot of options and you know, kind of reset my understanding of where the industry is and where the problems are. And it was good to do that. These were some of the best people that I met, and I got interested in what they were doing. They're smart, technical people, I wanted to work with them It was a good fit in terms of skills because when I joined Pensa just a couple of months ago now they were all technical people, and they'd been heads-down developing core technology and some early product stuff for almost three years. So they needed somebody like me to come in and help them get to the next level and it was a really good fit. And the other thing is, frankly, in my last job I was running an IT shop and I also had a thousand people out there selling, and about 300 pre-sales people, and when I saw this, I saw a product that I could've used in both of those areas. So sometimes when you resonate with something like that you start to think well geeze, this is something that I could, that a lot of people are going to need. And so there are many aspects of the technology that are interesting, but ultimately, I saw that this is a useful thing that I could go make a big business out of. So that's why I did it. >> You've had a great career, you know we know each other going way back, EMC days, and certainly at HP, even during the corporate developments work that Meg Whitman was doing at HP but involved in a lot of M&A activities, so you seen the landscape, you are talking about all the VCs, and all the conversations we've talked about in the past on other interviews you can check it out on YouTube, Tom Joyce, if you're interested in checking those conversations out. Worth looking at. So you landed at Pensa. What do they do? What was the itch for you? What was the, why are they relavant? What do they doing? >> Well, the first thing is, the company was founded about three years ago by people that had hardcore experience in big networking and virtualization environments. And they've been tackling some of the hardest problems in virtual infrastructure as you move from the hardware to everything being virtualized on multiple clouds. These guys were tackling the scale problem. And they'd also drilled down into how to make this work in the largest network environments in the world. So they had gotten business out of one of the largest service providers in the world as their first customer. So you look at that, and you say, alright these are smart people. And they're focusing on hard problems and there's a lot of, a lot of longevity in the technology that they're going out and building. And basically, what they're trying to do is help customers go to the next level with all software-based or software-defined, if you will, infrastructure, so that you can take technology from a whole bunch of different sources. It's going to be VMware, OpenStack, DevOps, the DevOps Stack as well as the whole constellation of people in the security industry. How do you make all those software parts work together at scale, with the people that you have? Rather than going out an hiring a whole new IT staff to plug all this stuff together and hope it works, these guys wanted to solve that. So it's without a lot of expertise, this product can go design, validate that it works, build and deploy complete software-defined environments, and it can do it faster than you could do it any other way that I'm aware of, and I've been around this industry for a long time. So that's what I saw when I said, geeze, I could have used this before, I could have used it in my own IT where our exposures were things like we had all this old software that we needed to update and we're scared to touch any of it, right? You look at things like Equifax. I was exposed in the Equifax breach, and that was exactly that scenario. >> Yeah, and they had four months in there playing around. Who knows what they got? >> To be honest with you, in my business we were doing the same thing because we weren't comfortable with upgrading our software cause we couldn't validate that it worked. How do you move from the old stuff to VMware six-dot-five and make sure nothing else breaks? We're kind of in the era of needing machine learning, intelligent technologies, autonomous kinds of ways to deploy this stuff, cause you can't hire enough smart people to go do it. And that's what I saw. >> Well, we'll do a breakdown or a tear-down, however you want to look at it, of the company in a second, but you guys have some news. Let's get to the news. What's the big news that you're sharing today? >> Okay, great. Well, there's a couple of key parts of it. First, we're formally launching the company. We've been heads down in development and I've been there for a few months, but the company hasn't been launched. So we're doing that, we're introducing Pensa to the world and the new website is Pensa.ai. The second thing is we've completed our Series A financing so we've got the financing under our belt. Third thing is we've been hiring a team. We've brought in certainly me, I've brought in a fella named Jim Chapel as the VP of marketing, long-time industry guy in both large and small software companies. And we're rolling out the first product. So the technology is called-- >> In terms of shipping? >> Yeah, it's going to be shipping as a SaaS offering and it's available now. It's built on our technology which is called Maestro, which is this smart machine, and the first offering is called Pensa Lab. And I can describe to you what it's used for, but it's for helping people go figure out how do I design, build, run, try new scenarios, and roll out stuff that's actually going to work and do it a lot faster than people can do with traditional technologies. >> Congratulations for launching the company, congratulations on the new role, great job. I'm looking forward to seeing you, But let's get into company, Pensa. >> Alright. >> So let's just go in market you guys are targeting. Take a minute to go into the market. What's the market, what's going on in the market, what trends, what's the bet in the market for you guys? >> With a early company like this, there's always a lot of things you can do and the battle is figuring out what is the first thing we're going to do? So I think over time we're going to be relevant to a lot of people, the first customers we're going to be focusing on are people in IT that are trying to manage complex virtualized networks. So a lot of them are people using VMware today. >> So the category is virtualization cloud? What's the category? >> It's a SaaS product for design, build, run. So it's really designing autonomous IT systems that are built on software-defined environments. So it's VMware, OpenStack, DevOps stack, and being able to kind of bring all those parts together in a way that from an operational standpoint you can deploy quickly. In the first version of the product is going to be designed for test in depth. And next year, we intend to bring out production versions of it, but virtually every one of these folks has environments for test today to figure out alright, I want to go do my update, my upgrade, my change I want to try a different security policy, cause I've got a hack happening and I want to do that fast, we're going to go after that. The other side of it is folks in the vendor community. Almost anybody that's selling a solution, again, like me and the job that I used to have, has people out there doing proofs of concept, demos, building systems for customers. And what we can do is give you the ability to spin up complete working environments and do it (snaps finger) basically like that. If you got a call this afternoon to go show VMware NSX running with some customer application with some other technology from a third we can make that work for you, and then you can tear it down and do the next one at four o'clock in the afternoon. >> So that a VMware customer-based you're targeting, I mean, it sounds like, and clarify if I don't get this right, you don't really care if it's private cloud, or hybrid cloud, or public cloud. >> We don't care. No, we don't. And there's a lot of folks-- >> And VMware, is that a target market, VMware buyers? >> Absolutely. Yup. And frankly, we've had people inside of VMware working with us as a number of the beta testers on this and demonstrating that they can spin up their own environments faster, so that kind of proof point is what we're after. Then there's a lot of folks in DevOps, right? DevOps is one of the hot targets for our business and a lot of businesses and what we see is folks that are focusing on the app development side of DevOps and then they get to the point where they got to call IT and say alright, give me a platform to run my new application on and they get the old answers. So a lot of these folks are looking for the ability to spin up environments very very quickly, with a lot of flexibility where they don't need to be and expert in alright, how's the storage going to work and how do I build a network, right? >> So are you targeting IT and DevOps hybrid, or is it one of the other DevOps developers? >> It's both. >> Okay and you don't care which cloud so you're going to draft off the success that VMware's seeing right now with their cloud strategy with AWS >> Absolutely. I mean look, there's a lot of ways >> Software design is booming. >> We can help those customers figure out how do I do VSAN faster? How do I do NSX faster? How do I set up applications that I can move to AWS faster? It's kind of bringing-- >> So software-defined clouds, software-defined data center, all this is in your wheelhouse. >> Yes, that's exactly right. >> This is what you're targeting. >> And that's the opportunity and the challenge. Again when you're doing a small company, the world is your oyster but you have to kind of focus on the first thing first. So we're going to go in and try to help people that have, are dealing with alright, I need to kind of update my software so that I don't have an Equifax, or I need to fix my security policies, I need an environment like, today that I can use to test that. Or, I want to go from the old VMware to to the new VMware, I got to make sure it works. That's good for the customer, that's good for VMware, it's good for us. >> And the outcome is digital productivity for the developer. >> Absolutely. >> OK, so let's talk about the business, and the business model. So you guys raised some money, can you talk about the amount, or is that confidential? >> It's confidential at this point and we have some additional-- >> Is it bigger than 10 million? Less than 10 million? >> It's been less than 10 million. We're going to go lean and mean, but we're set up to make the run we need to run. >> OK, good I got that out of the way. Employees, how many people do you guys have? What's the strategy? >> Just over 20 now, and we have a few more folks that we're going to be adding. We're going to go fairly lean from here. >> Okay, in terms of business model, you said SaaS Can you just explain a little bit more about thee business model, and then some of the competition that you have? >> Yeah, this product was designed from day one to be a SaaS product, so we're not going to go on-premise software or old models, we're going with a SaaS model for everything we're doing now and everything we intend to do in the future, so the product sits in the cloud, and you can access it basically on demand. We're going to make it very easy for people to get in and give this a try. It's going to be simple pricing, starting at about 15 hundred dollars a month. >> So a little bit of low-cost entry, not freemium, so it's going to some cost to get in, right? Try before you buy, POC, however that goes, right? >> Yeah, it's see a demo, do a trial, give it a shot. I'll give you an example, right. When I was at my last job, I had 300 pre-sales people >> Where's this? >> This was at Dell Software. >> Dell Software, okay, got it. >> Now it's called Quest. They would go out and they'd use cloud-based resources to spin up their demo environment. Well, I'm going to give them, and I'm calling them, by the way, the ability to buy it for a very short amount of money and you're not committed to it forever, you can use it as much as you want. And get the ability to say alright, let's spin up VMware, let's spin up OpenStack, let's spin up F5 Palo Alto Networks whatever security I want, get my app running on that without being an expert in all those parts. >> You can stand up stuff pretty quickly, it's a DevOps ethos but it's about the app and the developer productivity. >> Right. And from a business model standpoint, it's how do I make this really, really easy? Because the more of those folks that use it in this phase, next year, when we get to say alright, let's punch that thing you built into production on your cloud, we'll be ready to go. Our goal is to grab space quickly. >> Talk about competition. >> I think the competition for this part of it this kind of dev test lab spin up scenario, the Pensa lab that I just described, the biggest competition is going to be people that build their own. So in the corner you've got your test environment running on your old hardware, right? So that doesn't come with this automated software capability. The other ones are going to be people like Skytap, as an example, that a lot of people use, and I've used in the past, that gives you a platform to run on, but again, a lot more cost and not the automated software capabilities. So there are a lot of scenarios like that that we can go after, and it's almost universal. Everybody's got a need to have some sort of a test or dev environment, right? And we are going to prove to them that the software is better. >> So not a lot of competition. It's not like there's a zillion players out there. >> No, it's a big target, but there's not a lot of players. And for the most part, you're going to go into scenarios where customers have something they've cobbled together that isn't working as well as they'd like. >> And Pensa AI hints a little bit of a automation piece which is really all our people know in the enterprise. Let's talk about the technology. What's under the hood, is there AI involved, also you've got the domain name .ai, which I love those domain names, by the way, but what's the tech? What's driving the innovation and story differentiation? >> To be honest with you, inside that's something you debate because that's what it is. If AI is a way to use technology, to do things as well or better than people used to do before, that's what it is. And if you take all the hype, and nonsense out of the conversation, you say it's not about SkyNet and computers taking over the world, it's really about doing stuff better than we can do and making people more effective, that's what we have. Now, under AI there's a bunch of different techniques and we're going to be focused on primarily modeling and the core IP of this is how we build the model for all of those components and how they interact and how they behave, and then machine learning. How do we apply techniques to actually-- >> So you're writing software that's innovating on technology and configuration, tying that together and then using that instrumentation to make changes and/or adaptive-like capabilities-- >> Exactly, but rather than go spend a month building the template that you're going to go deploy the system will build that for you. And that's where the smarts are. And we'll use machine learning techniques over time to make that model better. So that's kind of where we're digging, and frankly it's a big problem for people. >> So software you're main technology. >> It's 100% a software platform. >> Okay, well, Wikibon Research was going viral at VMworld and I'll make a note cause I think this is important cause automation is our and it's a key point of your thing is that Wikibon showed that about 1.5 billion dollars are going to be taken out of the market as automation takes non-differentiated labor out of the equation, which essentially is stacking servers and racking, stacking and racking. That plays right into your trend. >> That's exactly what we're doing. And what we want to do is-- >> By the way that value shifts, too, all the parts. >> Yeah, and I think we're trying to focus-- automation isn't new. It's not new in IT. Certainly there's been a lot of focus on it the last 10 years. The question is how do you make the automation smarter? So you don't have to do the design and say push play. Cause the problem with automation in these really complicated microservices, multi-- the problem is, if you automate it, if you build that template wrong, you can make the same mistake a thousand times in a row. And I've had products in the past where they've worked great as long as that template was correct. Well what if the template changes? What if I need to put new security policies in there, changes? Maestro is going to build it for you. That's what the story is all about. >> That's your product, that's your product name. >> Yep. >> Well, that's what DevOps is all about. Programming the infrastructure, and that's always going to change. So that's really the DevOps ethos. >> Yeah, and that's why if you expand out from the first play run, this test dev scenario, well, frankly, we'll learn a lot. We'll learn a ton about different patterns that we see, we'll learn a lot about the Interop environment that customers want, I want you to add this or add that, the system is going to get smarter to the point where when we punch it into production, it's going to know a lot more than it does today. >> Well congratulations on the launch. My final question for you is really the most important one which is, if I'm a customer, why do I care? What's in it for me? What's the value? Why should I pay attention to Pensa.ai? What's going on, what's the value to me, why should I care, why should I call you? Gimme that bottom line. >> It's about risk reduction. It's about making sure that the things you need to change you can actually do it without it blowing up in your face. And it's also, frankly, the other side of the AI-- >> What, the infrastructure blowing up in my face? Or just apps? >> If you make changes to your environment and you're not sure if they're going to work, but you know, again, take the Equifax thing. If they had made those changes and put them into their environment, it wouldn't be on the front page of every newspaper in the world. Frankly, my information wouldn't have been hacked. >> What would you guys have done if I was Equifax and I knew that potentially I had to move fast? How could you guys solve that problem? >> If you have a problem, upgrade the software today. And what we would've done is give them the ability-- >> Do you think they knew they had a problem? >> Uh... I don't know if they did or not, but you can see this scenario over and over and over again in other companies, where they say, we know we need to do an update, but we're not doing it. We're going to wait for the six months-- >> Cause it breaks stuff. >> Cause we're scared. >> Scared, or that it breaks stuff, or both? >> It breaks stuff and we need to test it, right? So we're going to bring test velocity into that, we're going to bring intelligence to make sure the design is right, right? So that you can do it more quickly. In many different scenarios. >> It's interesting in the old days, it was like, patch management was a big thing, that was the on-premise software, but with DevOps, you need, essentially, test and dev all the time on? >> You do. If you're developing these applications with DevOps in the front end, and you're dropping new versions of 'em in hours, rather than quarters, the infrastructure in the back end has to kind of speed up to DevOps speed. And that's where we're going to focus our attention. >> Alright, here's the hard question for you and we'll end the segment, is when does a customer, your potential customer, know they need you? What's the environment look like? What's the pain points? What are the signals that they need to be calling Pensa.ai? What's the deal there? >> Yeah, I think we're going to talk to the DevOps people that are looking to get their applications out and get them built and deployed-- >> So, need for application pushing, that's one. >> That's one. The other ones are going to be folks inside any IT organization that need better velocity, need to be able to test one and take money, cost out of it, cause we're going to do it for a lot less than what it costs you to do now. And the third one is the vendor community. Folks out there selling software. VARs, pre-solicit people. >> So I guess the question is more specific. What is the signs inside the customer that make them want to call you? Stuff's breaking, upgrades not happening fast enough, I'm trying to get to the heart of it. If I'm a customer-- >> On the IT customer side, it's all about velocity. We need to push our apps faster, we need infrastructure faster, we need to test security policies faster, we're not going fast enough-- >> So basically if you're going slow, not getting the job done, they call you. >> Pretty much, that's our guys. >> Tom, congratulations on the launch, congratulations on the new CEO job, we'll be tracking you guys. Series A funding, congratulations, who's the VC involved? >> We have The Fabric, which was the seed funding source, and then March Capital has been very helpful to us in this A round. >> Great, well they got a great pro in you as CEO. We'll keep in touch. Cube alumni, good friend Tom Joyce here inside theCUBE Studios on the conversation around the launch of the company, Series A funding, new team members, and Pensa.ai. This is theCUBED. Cubed.net is our URL, check it out. Siliconangle.com and wikibon.com is where you can go check out our stuff. I'm John Furrier, thanks for watching. (futuristic music)

>> I'm Stu Miniman with The Cube and we're here at the Winslow Technology Group Dell EMC User Group, happy to have one of the users at the event, Hasan Barakat, who's the Director of Global IT at Cell Signaling Technology. Thanks so much for joining us. >> Thank you, Stu. >> Alright, so, Hasan, tell us a little bit about your organization, your role there, and you're local, correct? >> Right, we are out of Danvers and Beverly in Massachusetts. We employ about 450 people. We produce antibodies used in cancer research, they are manufactured here, in Massachusetts, and shipped all over the world. >> Alright, what are the uses for these antibodies? >> Mostly they're used in cancer research at universities, and as well as pharma companies. Organizations that are trying to cure disease, use our antibodies, which have a very good reputation in the industry, to further their research goals. >> Okay so, healthcare is highly regulated, going through massive amounts of change, what are some of the biggest drivers in your company's business today? >> So, speed is one. Quality is another, and we try to embrace change from a technology perspective and enable our users and scientists to be the best that they can be, from an IT perspective. >> Alright, what's the relationship between business and IT? What does that look like today? >> So we have a lot of labs, we generate a lot of data. We trawl through a lot of that data, so our users need robust IT systems and messaging and other sort of technologies to further our business around the world. We cover the globe, we're not just here. We're also in Europe and China and Japan. >> Alright, so we've really been looking at, it's been said probably way too many times, data is the new oil in many ways. Data is the new fly wheel for most businesses, the more you have, the more you can access, the more things you can do with it. What do you have to do from an IT standpoint to make sure you have data available, and can leverage that data, and maybe you can tell me what's kind of interesting how you use data today? >> Sure, we do generate a lot of data. In the old days, we did not probably generate as much data. Our systems do require a constant refresh, and scalability, and agility. So what we are trying to do now, is to embrace that change and be as fast as possible. We are looking to the cloud. We are looking to be as fast and agile as possible with all of our scientific data and also our business data. Our commercial data, our messaging. These are all challenges that create a lot of need for agility and speed. >> Alright, Hasan, connect the dots for us then. We're at this event, I look down to the expo hall, I see things like Dell servers, storage, hyper converge, hybrid cloud. What are you using today? How are things changing in your environment to be able to deliver all of those data solutions that you talked about? >> All of the above. And that's why we're here. We do have a lot of Dell servers on prep. We trying to build a hybrid cloud as much as possible. We leverage AW, starting leverage AWS. We have partners that, where our Enterprise Business Systems are, our commercial systems, our financial systems. We try and leverage these using Dell storage, Dell hardware, and also Dell endpoint products. So our users are now using a mix of Apple systems, Macintosh systems, as well as Dell laptops, monitors, keyboards, mice, and everything else. Winslow helps us connect all of it together. >> How much of that do you architect? How much do you rely on a partner like WTG to help put all those things together? >> That's a good question. We're lucky in a sense that we have a good team, that we sort of know what it is that we're looking for, but whenever we run up against, ya know, some challenges that we don't maybe fully understand, road maps and things like that, what's coming out of Dell. Winslow's been a great partner to help us navigate through that mine field. We have compellent storage on prem, we have Vertech servers that are split into application clusters and database clusters. Currently we're basically looking at expanding our Dell laptop footprint as well. We placed almost 100 lab systems as well from ancient, aging XP machines to state of the art Dell XPS systems that are running Windows 10. >> Alright, Hasan, it sounds like you're going through a lot of change to reinvent a lot of the pieces in your environment. What kind of support do you get from your management? Here in IT, it's like, ugh, ya know, my budget's flat, my head count is flat to negative. To make these changes usually requires some investment. How do you accomplish that inside your firm? >> We have historically not invested as much in IT as maybe we should have over the years. So currently, we now have an IT refresh budget to bring out these systems and replace them with state of the art, ya know, it's all about change. The more static we are, the more aging, my boss calls these aging systems, Jurassic petting zoo. We're trying to basically get to a level of performance and reliability that gets our scientists and our users, and eventually our customers, and people all across the world, a fair shot at doing what they need to do. >> Alright, Hasan, you're working with a number of vendors out there. You have on your wish list, ya know, what would you like to see from those partners that would make your job and your company's business even better? >> Communication's always a good one. We try and make sure that we stay on top of change. Sometimes that's not always possible, we end up with systems that are not scalable. So if there's something I would like to see, everybody please provide scalable systems. As businesses grow, as data grows, scalability is incredibly important. Being static and stuck where we are, and not having to do forklift upgrades, and continuous migrations, if we can continue be, if these vendors could help us be scalable, and these partners could help us scale, that's really what we're looking for. We're growing at a fast clip. There are certain areas of the business, such as China, that are growing at over 30 percent year on year, in some cases. So that scalability requires flexibility from our partners. >> Hasan Barakat, really appreciate you joining, sharing with our community, everything happening in your space. I'm Stu Miniman and you're watching The Cube.

>> Narrator: Live, from Boston, Massachusetts, this is theCUBE, covering Spark Summit East 2017, brought to you by Databricks. Now, here are your hosts, David Vellante and George Gilbert. >> Back to Boston, everybody, where the city is bracing for a big snowstorm. Still euphoric over the Patriots' big win. Aaron Colcord is here, he's the director of engineering at FIS Global, and he's joined by Dave Favela, who's the director of BI at FIS Global. Gentlemen, welcome to theCUBE. It's good to see you. >> Yeah, thank you. >> Thank you very much. >> Thanks so much for coming on. So Dave, set it up. FIS Global, the company that does a ton of work in financial services that nobody's ever heard of. >> Yeah, absolutely, absolutely. Yeah, we serve and touch virtually every credit union or bank in the United States, and have services that extend globally, and that ranges anywhere from back office services to technology services that we provide by way of mobile banking or online banking. And so, we're a Fortune 500 company with a reach, like I said, throughout the nation and globally. >> So, you're a services company that provides, sort of, end-to-end capabilities for somebody who wants to start a bank, or upgrade their infrastructure? >> Absolutely, yeah. So, whether you're starting a bank or whether you're an existing bank looking to offer some type of technology, whether it's back-end processing services, mobile banking, bill pay, peer-to-peer payments, so, we are considered a FinTech company, and one of the largest FinTech companies there is. >> And Aaron, your role as the director of engineering, maybe talk about that a little bit. >> My role is primarily about the mobile data analytics, about creating a product that's able to not only be able to give the basic behavior of our mobile application, but be able to actually dig deeper and create interesting analytics, insights into the data, to give our customers understanding about not only the mobile application, but be able to even, as we're building right now, a use case for being able to take action on that data. >> So, I mean, mobile obviously is sweeping the banking industry by storm, I mean, banks have always been, basically, IT companies, when you think about it, a huge component of IT, but now mobile comes in and, maybe talk a little bit about, sort of the big drivers in the business, and how, you know, mobile is fitting in. >> Absolutely. So, first of all, you see a shift that's happening with the end user: you, David, as a user of mobile banking, right? You probably have gone to the branch maybe once in the last 90 days, but have logged into mobile banking 10 times. So, we've seen anywhere from an eight to nine time shift in usage and engagement on the digital channel, and what that means is, more interactions and more touch points that the bank is getting off of the consumer behavior. And so, what we're trying to do here is turn that into getting to know the customer profile better, so that they could better serve in this digital channel, where there's a lot more interactions occurring. >> Yeah, I mean, you look at the demographic, too. I mean, my kids don't even use cheques. Right, I mean, it's all, everything's done on mobile, Venmo, or whatever, the capabilities they have. So, what's the infrastructure behind that that enables it? I mean, it can't be what it used to be. I mean, probably back-end still is, but what else do you have to create to enable that? >> Well, it's been a tremendous amount of transformation on the back-ends over the last ten years, and particularly when we talk about how that interaction has changed, from becoming a more formal experience to becoming a more intimate experience through the mobile client. But, more specifically to the back-end, we have actually implemented Apache Spark as one of our platforms, to actually help transform and move the data faster. Mobile actually creates a tremendous amount of back-end activity, sometimes even more than what we were able to see in other channels. >> Yeah, and if you think about it, if you just kind of step back a little bit, this is about core banking, right, and as you speak to IT systems, and so, if you think about all the transactions that happen on the daily, whether you're in branch, at ATM, on a mobile device, it's processed through a core banking system, and so one of the challenges that, I think, this industry and FinTech is up against is that, you've got all these legacy old systems that have been built that can't compute all this data at a fast enough rate, and so for us, bringing in Aaron, this is about, how do you actually leverage new technology, and take the technical data of the old systems, data schemas and models, and marry the two to provide data, key data that's been generated. >> Dave: Without shutting down the business. >> Without shutting down the business. >> Because that's the hard part. >> Can you elaborate on that, because that's non-trivial. It used to be when banks merged, it could take years for the back-off of systems to come together. So now, let's say a bank comes to you, they have their, I don't want to say legacy systems, it's the systems they've built up over time, but they want the more modern capabilities. How do you marry the two? >> Would you take a first stab? >> Well, it is actually a very complicated process, because you always have to try to understand data itself, and how to put those two things together. More specifically on the mobile client, because of the way that we are able to think about how data can be transformed and transported, we came up with a very flexible mechanism to allow data to actually be interpreted on the fly, and processed, so that when you talk about two different banks, by transforming it into this type of format, we're able to kind of reinterpret it and process it. >> Would this be, could you think of this as a very, very smart stream processor that, where ETL would be at the most basic layer, and then you're adding meaning to the data so that it shows up to the mobile client in a way that coheres to the user model that the user is experiencing on their device? >> I think that's a really good way of putting it, yeah. I mean, there's a, we like to think of it, I call it a semantic layer, of how you, one, treat ETL as one process, and then you have a semantic layer that you basically transform the bottom bits, so to speak, into components that you can then assemble semantically so that it starts making sense to the end user. >> And to that point, you know, to your integration question, it is very challenging, because you're trying to marry the old with the new, and we'll tease the section for tomorrow in which Aaron will talk about that, but for us, at enterprise grade, it has to be done very cautiously, right? And we're under heavy regulation and compliance and security, and so, it's not about abandoning the old, right? It's trying to figure out, how do we take that, what's been in place and been stable, and then couple it with the new technology that we're introducing. >> Which is interesting conversation, the old versus new, and I look at your title, Dave, and it's got 'BI' in it. I remember I interviewed Christian Chabot, who was then CEO of Tableau, and he's like, "Old, slow, BI", okay, now you guys are here talking about Spark. Spark's all about real-time and speed and memory, and everything else. Talk about the transformation in your role as this industry has transformed. >> Yeah, absolutely, so, when we think about business intelligence and creating that intelligence layer, we elected the mobile channel, right? Because we're seeing that most inner activities happen there. So for us, an intelligent BI solution is not just, you know, data management and analytics platform. There has to be the fulfillment. You talk a lot about actioning on your data. So for us, it's, if we could actually create, you know, intelligence layer to analytics level, how can we feed marketing solutions with this intelligence to have the full circle and insights back? I believe, the gentlemen, they were talking about the RISE Lab in this morning session. >> Dave: The follow-on to AMP, basically. >> Yeah, exactly. So, there it was all about that feedback loop, right? And so, for us, when we think about BI, the whole loop is from data management to end-to-end marketing solutions, and then back, so that we can serve the mobile customer. >> Well, so, you know, the original promise of the data warehouse was this 365, what you just described, right? And being able to effect business outcomes, and that is now the promise of so-called big data, even though people don't really like that term anymore, so, my question is, is it same line, new bottle, or is it really transformational? Are we going to live up to that challenge this time around? As practitioners, I'd really love your input on that. >> I think I'd love to expand on that. >> Absolutely. >> Yeah, I mean, I don't think it's, I think it's a whole new bottle and a whole new wine. David here is from wine country, and, there's definitely the, data warehouse introduced the important concepts, of which is a tremendous foundation for us to stand on. You know, you always like to stand on the shoulders of giants. It introduced a concept, but in the case of marrying the new with the old, there's a tremendous extra third dimension, okay? So, we have a velocity dimension when we start talking about Apache Spark. We can accelerate it, make it go quick, and we can get that data. There's another aspect there when we start talking about, for example, hey, different banks have different types of way that they like to talk to it, so now we're kind of talking about, there's variation in people's data, and Apache Spark, actually, is able to give that capability to process data that is different than each other, and then being able to marry it, down the pipe, together. And then the additional, what I think is actually making it into a new wine is, when we start talking about data, the traditional mechanism, data warehousing, that 360 view of the customer, they were thinking more of data as in, I like to think of it as, let's count beans, right? Let's just come up with what how many people were doing X, how many were doing this? >> Dave: Accurate reporting, yeah. >> Exactly, and if you think about it, it was driving the business through the rear-view mirror, because all you had to do was base it off of the historical information, and that's how we're going to drive the business. We're going to look in the rear-view mirror, we're going to look at what's been going on, and then we're going to see what's going on. And I think the transformation here is taking technologies and being able to say, how do we put not only predictive analytics inside play, but how do we actually allow the customer to take control and actually move forward? And then, as well, expand those use cases for variation, use that same technology to look for, between the data points, are there more data points that can be actually derived and moved forward on? >> George, I loved that description. You have, in one of your reports, I remember, George had this picture of this boat, and he said, "Oh, imagine trying to drive the boat", and it was looking at the wake (laughs), you know, right? Rather than looking in the rear-view mirror. >> But in addition to that, yeah, it's like driving the rear-view mirror, but you also said something interesting about, sort of, I guess the words I used to use were anticipating and influencing the customer. >> Aaron: Exactly. >> Can you talk about how much of that is done offline, like scoring profiles, and how much of that is done in real-time with the customer? >> Go ahead. >> Well, a lot of it still is still being done offline, mostly because, you know, as trying to serve a bank, you have to also be able to serve their immediate needs. So, really, we're evolving to actually build that use case around the real-time. We actually do have the technology already in place. We built the POCs, we built the technology inside, we're being able to move real-time, and we're ready to go there. >> So, what will be the difference? Me as a consumer, how will that change my experience? >> I think that would probably be best for you. >> Yeah, well, just got to step back a little bit, too, because, you know, what we're representing here is the digital channel mobile analytics, right? But, there's other areas within FIS Global that handles real-time payments with real-time analytics, such as a credit card division, right? So, both are happening sort of in parallel right now. For us, from our perspective on the mobile and digital front, the experience and how that's going to change is that, if you were a bank, and as a bank or a credit union you're receiving this behavioral data from our product, you want to be able to offer up better services that meet your consumer profile, right? And so, from our standpoint, we're working with other teams within FIS Global via Spark and Cloud, to essentially get that holistic profile to offer up those services that are more targeted, that are, I think, more meaningful to the consumer when they're in the mobile banking application. >> So, does FIS provide that sort of data service, that behavioral service, sort of as a turnkey service, or as a service, or is that something that you sort of teach the bank or the credit union how to fish? >> That's a really good question. We stated our mission statement as helping these institutions, creating a culture of being data-driven, right? So, give them the taste of data in a way that, you know, democratizing data, if you will, as we talked about this morning. >> Dave: Yeah, that's right. >> That concept's really important to us, because with that comes, give FIS more data, right? Send them more data, or have them teach us how to manage all this data, to have a data science experience, where we can go in and play with the data to create our own sub-targeting, because our belief is that, you know, our clients know their customers the best, so we're here to serve them with tools to do that. >> So, I want to come back to the role of Spark. I mean, Hadoop was profound, right, I mean, shipped five megabytes of code, a petabyte a day, no doubt about it. But at the same time, it was a heavy lift. It still is a heavy lift. So talk about the role of Spark in terms of catalyzing that vision that we've been talking about. >> Oh, definitely. So, Apache Spark, when we talk in terms of big data, big data got started with Hadoop, and MapReduce was definitely an interesting concept, but Apache Spark really lifted and accelerates the entire vision of big data. When you look at, for example, MapReduce, you need to go get a team of trained engineers, who are typically going to work in a lower level language like Java, and they no longer focus in on what the business objectives are. They're focusing on the programming objectives, the requirements. With Spark, because it takes a more high-level abstraction of how we process data, it means that you're more focusing on, what's the actual business case? How are we actually abstracting the data? How are we moving data? But then it also gives you that same capability to go inside the actual APIs, get a little bit lower, to modify it for what's your specific needs. So, I think the true transformation with Apache Spark is basically allowing us, now, like for example, in the presentation this morning, it was, there's a lot of people who are using Scala. We use Scala, ourselves. There's now a lot of people who are using Python, and everybody's using SQL. How does SQL, something that has survived so robustly for almost 30, 40 years, still keep on coming back like a boomerang on us? And it's because a language composed of four simple keywords is just so easy to use, and so descriptive and declarative, that allows us to actually just concentrate on the business, and I think that's actually the acceleration that Apache Spark actually brings to the business, is being able to just focus in on what you're actually trying to do, and focus in on your objectives, and it actually lowers the actual, that same team of engineers that you're using for MapReduce now become extremely more productive. I mean, when I look at the number of lines of codes that we had to do to figure out machine learning and Hadoop, to the amount of lines that you have to do in Apache Spark, it's tremendously, it's like, five lines in Apache Spark, 30 in MapReduce, and the system just responds and gives it to you a hundred times faster. >> Why Spark, too? I mean, Spark, when we saw it two years ago, to your point of this tidal wave of data, we saw more mobile phone adoption, we saw those people that were on mobile banking using it more, logging in more, and then we're seeing the proliferation of devices, right, in IoT, so for us, these are all these interaction and data points that is a tsunami that's coming our way, so that's when we strategically elected to go Spark, so we could handle the volume and compute storage- >> And Aaron, what you just described is, all the attention used to be on just making it work, and now it's putting to work, is really- >> Aaron: Right, exactly. >> You're seeing that in your businesses. >> Quick question. Do you see, now that you have this, sort of, lower and lower latency analytics and ability to access more of the, what previously were data silos, do you see services that are possible that banks couldn't have thought of before, beyond just making different products recommended at the appropriate moment, are there new things that banks can offer? >> It's interesting. On one hand, you free up their time from an analysis standpoint, to where they could actually start to get out of the weeds to think about new products and services, so, from that component, yes. From the standpoint of seeing pattern recognition in the data, and seeing what it can do aside from target marketing, our products are actually often used by our product owners internally to understand, what are the consumers doing on the device, so that they could actually come up with better services to ultimately serve them, aside from marketing solutions. >> Notwithstanding your political affiliations, we won't go there, but there's certainly a mood of, and a trend toward, deregulation, that's presumably good news for the financial services industry. Can you comment on that, or, what's the narrative going on in your customer base? Are they excited about fewer regulations, or is that just all political nonsense? Any thoughts? >> Yeah (laughs), you know, on one hand, why people come to FIS is because we do adhere to a compliance and regulation standpoint, right? >> Dave: Complexity is your friend, then (laughs). >> Absolutely, right, so they can trust us in that regard, right? And so, from our vantage point, will it go away entirely? No, absolutely not, right. I think Cloud introduces a whole new layer of complexity, because how do you handle Cloud computing and NPI, and PII data in the Cloud, and our customers look to us to make sure that, first and foremost, security for the end consumer is in place, and so, but I think it's an interesting question, and one that you are seeing end users click through without even viewing agreements or whatnot, they just want to get to product, right? So, you know, will it go away, or do we see it going away? No, but ... >> You guys don't read all that text, do you? (laughing) >> No comment? >> Required, required to. >> You know, no matter where it goes with the politics, I think there's a theme over the last 10 years, and the 10 years before. Things are transforming, things are evolving in ways, and sometimes going extremely, extremely fast in ways that we don't, surely can't anticipate. I think, if we were to think about just a mobile application, or the mobile bank experience 10 years ago, all we wanted was just to be able to see just the bank balance, and now we're able to take that same application and not only see our bank balance, but be able to deposit our cheque, or even replace the card in our pocket completely, with the mobile app, and I think we're going to see the exact same types of transformations over the industry over the next 10 years. Whether or not it's more regulation or different regulation, I think it's going to still speak to the same services, which FIS is there to help deliver. >> Yeah, and you're right, there are going to be new regulations, because they'll evolve, maybe out with the old, in with the new, you see, and global regulations are on run book, and you've got your Cloud, there's data locality, and you know, it's never-ending. That's great for your business. Fantastic. >> It comes down to trust, ultimately, right? I mean, they still, our customers still go to banks and credit unions because they trust them with their data, if you will, or their online currency, in some regards. So, you know, that's not going to change. >> Right, yeah. Well, Aaron, Dave, thanks very much for coming to theCUBE, it was great to have you. >> Thanks so much for talking with us. >> Absolutely, good luck with everything. >> Alright, keep it right there, buddy. We'll be back with our next guest. This is theCUBE. We're live from Boston, Spark Summit East, #SparkSummit. Be right back. >> I remember, when I had such a fantastic batting practice-

>> Narrator: Live from Stanford University, it's theCUBE covering the Women in Data Science Conference 2017. >> Hi welcome back to theCUBE, I'm Lisa Martin and we are live at Stanford University at the second annual Women in Data Science one day tech conference. We are joined by one of the speakers for the event today, Claudia Perlich, the Chief Scientist at Dstillery, Claudia, welcome to theCUBE. >> Claudia: Thank you so much for having me. It's exciting. >> It is exciting! It's great to have you here. You are quite the prolific author, you've won data mining competitions and awards, you speak at conferences all around the world. Talk to us what you're currently doing as the Chief Scientist for Dstillery. Who's Dstillery? What's the Chief Scientist's role and how are you really leveraging data and science to be a change agent for your clients. I joined Dstillery when it was still called Media6Degrees as a very small startup in the New York ad tech space. It was very exciting. I came out of the IBM Watson Research Lab and really found this a new challenging application area for my skills. What does a Chief Scientist do? It's a good question, I think it actually took the CEO about two years to finally give me a job description, (laughter) and the conclusion at that point was something like, okay there is technical contribution, so I sit down and actually code things and I build prototypes and I play around with data. I also am referred to as Intellectual Leadership, so I work a lot with the teams just kind of scoping problems, brainstorming was may work or dozen, and finally, that's what I'm here for today, is what they consider an Ambassador for the company, so being the face to talk about the more scientific aspects of what's happening now in ad tech, which brings me to what we actually do, right. One of the things that happened over the recent past in advertising is it became an incredible playground for data signs because the available data is incomparable to many other fields that I have seen. And so Dstillery was a pioneer in that space starting to look at initially social data things that people shared, but over the years it has really grown into getting a sense of the digital footprint of what people do. And our primary business model was to bring this to marketers to help them on a much more individualized basis identify who their customers current as well as futures are. Really get a very different understanding than these broad middle-aged soccer mom kind of categories to honor the individual tastes and preferences and actions that really truly reflect the variety of what people do. I'm many things as you mentioned, I publish mom, what's a mom, and I have a horse, so there are many different parts to me. I don't think any single one description fully captures that and we felt that advertising is a great space to explore how you can translate that and help both sides, the people that are being interacted with, as well as the brands that want to make sure that they reach the right individuals. >> Lisa: Very interesting. Well, as buyers journey as changed to mostly online, >> Exactly. >> You're right, it's an incredibly rich opportunity for companies to harness more of that behavioral information and probably see things that they wouldn't have predicted. We were talking to Walmart Labs earlier and one of the interesting insights that they shared was that, especially in Silicon Valley where people spend too much time in the car commuting-- (laughter) You have a long commute as well by train. >> Yes. >> And you'd think that people would want, I want my groceries to show up on my doorstep, I don't want to have to go into the store, and they actually found the opposite that people in such a cosmopolitan area as Silicon Valley actually want to go into the store and pick up-- >> Claudia: Yep. >> Their groceries, so it's very interesting how the data actually can sometimes really change. It's really the scientific method on a very different scale >> Claudia: Much smaller. >> But really using the behavior insights to change the shopping experience, but also to change the experience of companies that are looking to sell their products. >> I think that the last part of the puzzle is, the question is no longer what is the right video for the Super Bowl, I mean we have the Super Bowl coming up, right? >> Lisa: Right. Right. >> They did a study like when do people pay attention to the Super Bowl. You can actually tell, cuz you know what people don't do when they pay attention to the Super Bowl? >> Lisa: Mm,hmm. >> They're not playing around with their phones. They're actually not playing-- >> Lisa: Of course. >> Candy Crush and all these things, so what we see in the ad tech environment, we actually see that the demand for the digital ads go down when people really focus on what's going on on the big screen. But that was a diversion ... >> Lisa: It's very interesting (laughter) though cuz it's something that's very tangible and very ... It's a real world applications. Question for you about data science and your background. You mentioned that you worked with IBM Watson. Forbes has just said that Data Scientist is the best job to apply for in 2017. What is your vision? Talk to us about your team, how you've grown that up, how you're using big data and science to really optimize the products that you deliver to your customers. >> Data Science is really many, many different flavors and in some sense I became a Data Scientist long before the term really existed. Back then I was just a particular weird kind of geek. (laughter) You know all of a sudden it's-- >> Now it has a name. (laughter) >> Right and the reputation to be fun and so you see really many different application areas depending very different skillsets. What is originally the focus of our company has always been around, can we predict what people are going to do? That was always the primary focus and now you see that it's very nicely reflected at the event too. All of sudden communicating this becomes much bigger a part of the puzzle where people say, "Okay, I realize that you're really "good at predicting, but can you tell me why, "what is it these nuggets of inside-- >> Interpretation, right. >> "That you mentioned. Can you visualize what's going on?" And so we grew a team initially from a small group of really focused machine learning and predictive skills over to the broader can you communicate it. Can you explain to the customer archieve brands what happened here. Can you visualize data. That's kind of the broader shift and I think the most challenging part that I can tell in the broader picture of where there is a bit of a short coming in skillset, we have a lot of people who are really good today at analyzing data and coding, so that part has caught up. There are so many Data Science programs. What I still am looking for is how do you bring management and corporate culture to the place where they can truly take advantage of it. >> Lisa: Right. >> This kind of disconnect that we still have-- >> Lisa: Absolutely. >> How do we educate the management level to be comfortable evaluating what their data science group actually did. Whether they working on the right problems that really ultimately will have impact. I think that layer of education needs to receive a lot more emphasis compared to what we already see in terms of this increased skillset on just the sheer technical side of it. >> You mentioned that you teach-- >> Claudia: Mm,hmm. >> Before we went live here, that you teach at NYU, but you're also teaching Data Science to the business folks. I would love for you to expand a little bit more upon that and how are you helping to educate these people to understand the impact. Cuz that's really, really a change agent within the company. That's a cultural change, which is really challenging-- >> Claudia: Very much so. >> Lisa: What's their perception? What's their interest in understanding how this can really drive value? >> What you see, I've been teaching this course for almost six years now, and originally it was really kind of the hardcore coders who also happened to get a PhD on the side, who came to the course. Now you increasingly have a very broad collection of business minded people. I typically teach in the part-time, meaning they all have day jobs and they've realized in their day jobs, I need this. I need that. That skill. That knowledge. We're trying to get on the ground where without having to teach them python and ARM whatever the new toys are there. How can you identify opportunities? How do you know which of the many different flavors of Data Science, from prediction towards visualization to just analyzing historical data to maybe even causality. Which of these tools is appropriate for the task at hand and then being able to evaluate whether the level of support that a machine can only bring, is it even sufficient? Because often just because you can analyze data doesn't mean that the reliability of the model is truly sufficient to support then a downstream business project. Being able to really understand those trade offs without necessarily being able to sit down and code it yourself. That knowledge has become a lot more valuable and I really enjoy the brainstorming when we're just trying to scope a project when they come with problems from their day job and say, "Hey, we're trying to do that." And saying, "Are you really trying to do that?" "What are you actually able to execute? "What kind of decisions can you make?" This is almost like the brainstorming in my own company now brought out to much broader people working in hospitals, people working in banking, so I get exposed to all of these kinds of problems said and that makes it really exciting for me. >> Lisa: Interesting. When Dstillery is talking to customer or prospective customers, is this now something that you're finding is a board level conversation within businesses? >> Claudia: No, I never get bored of that, so there is a part of the business that is pretty well understood and executed. You come to us, you give us money, and we will execute a digital campaign, either on mobile phones, on video, and you tell me what it is that you want me to optimize for. Do you want people to click on your ad? Please don't say yes, that's the worst possible things you may ask me to do-- (laughter) But let's talk about what you're going to measure, whether you want people to show up in your store, whether you really care about signing up for a test drive, and then the system automatically will build all the models that then do all the real-time bidding. Advertising, I'm not sure how many people are aware, as your New York Times page loads, every single ad slot on that side is sold in a real-time auction. About 50 billion times a day, we receive a request whether we want to bid on the opportunity to show somebody an ad. >> Lisa: Wow. >> So that piece, I can't make 50 billion decisions a day. >> Lisa: Right. >> It is entirely automated. There's this fully automated machine learning that just serves that purpose. What makes it interesting for me now that ... Now this is kind of standard fare if you want to move over and is more interesting parts. Well, can you for instance predict which of the 15 different creatives I have for Jobani, should I show you? >> Lisa: Mm,hmm. >> The one with the woman running, or the one with the kid opening, so there is no nuances to it and exploring these new challenges or going into totally new areas talking about, for instance churn prediction, I know an awful lot about people, I can predict very many things and a lot of them go far beyond just how you interact with ads, it's almost the most boring part. We can see people researching diabetes. We can provide snapshots to farmer telling them here's really where we see a rise of activity on a certain topic and maybe this is something of interest to understand which population is driving those changes. These kinds of conversations really making it exciting for me to bring the knowledge of what I see back to many different constituents and see what kind of problems we can possibly support with that. >> Lisa: It's interesting too. It sounds like more, not just providing ad technology to customers-- >> Claudia: Yeah. >> You're really helping them understand where they should be looking to drive value for their businesses. >> Claudia: That's really been the focus increasingly and I enjoy that a lot. >> Lisa: I can imagine that, that's quite interesting. Want to ask you a little bit before we wrap up here about your talk today. I was looking at your, the title of your abstract is, "Beware what you ask for: The secret life of predictive models". (laughter) Talk to us about some of the lessons you learn when things have gone a little bit, huh, I didn't expect that. >> I'm a huge fan of predictive modeling. I love the capabilities and what this technology can do. This being said, it's a collection of aha moments where you're looking at this and this, this doesn't really smell right. To give you an example from ad tech, and I alluded to this, when people say, "Okay we want a high click through rate." Yes, that means I have to predict who will click on an ad. And then you realize that no matter what the campaign, no matter what the product, the model always chooses to show the ad on the flashlight app. Yeah, because that's when people fumble in the dark. The model's really, really good at predicting when people are likely to click on an ad, except that's really not what you intended-- >> Right. >> When you asked me to do that. >> Right. >> So it's almost the best and powerful that they move off into a sidetracked direction you didn't even know existed. Something similar happened with one of these competitions that I won. For Siemens Medical where you had to identify an FMI images of breast, which of these regions are most likely benign or which one have cancer. In both models we did really, really well, all was good. Until we realized that the patient ID was by far the most predictive feature. Now this really shouldn't happen. Your social security number shouldn't be able to predict-- >> Lisa: Right. >> Anything really. It wasn't the social security number, but when we started looking a little bit deeper, we realized what had happened is the data set was a sample from different sources, and one was a treatment center, and one was a screening center and they had certain ranges of patient IDs, so the model had learned where the machine stood, not what the image actually contained about the probability of having cancer. Whoever assembled the data set possibly didn't think about the downstream effect this can have on modeling-- >> Right. >> Which brings us back to the data science skill as really comprehensive starting all the way from the beginning of where the data is collected, all the way down to be extremely skeptical about your own work and really make sure that it truly reflects what you want it to do. You asked earlier like what makes really good Data Scientists. The intuition to feel when something is wrong and to be able to pinpoint and trace it back with the curiosity of really needing to understand everything about the whole process. >> Lisa: And also being not only being able to communicate it, but probably being willing to fail. >> Claudia: That is the number one really requirement. If you want to have a data-driven culture, you have to embrace failure, because otherwise you will fail. >> Lisa: How do you find the reception (laughter) to that fact by your business students. Is that something that they're used to hearing or does it sound like a foreign language to them? >> I think the majority of them are in junior enough positions that they-- >> Lisa: Okay. >> Truly embrace that and if at all, they have come across the fact that they weren't allowed to fail as often as they had wanted to. I think once you go into the higher levels of conversation and we see that a lot in the ad tech industry where you have incentive problems. We see a lot of fraud being targeted. At the end of the day, the ad agency doesn't want to confess to the client that yeah they just wasted five million dollars-- >> Lisa: Right. >> Of ad spend on bots, and even the CMO might not be feeling very comfortable confessing that to the CO-- >> Right. >> Claudia: Being willing to truly face up the truth that sometimes data forces you into your face, that can be quite difficult for a company or even an industry. >> Lisa: Yes, it can. It's quite revolutionary. As is this event, so Claudia Perlich we thank you so much for joining us-- >> My pleasure. >> Lisa: On theCUBE today and we know that you're going to be mentoring a lot of people that are here. We thank you for watching theCUBE. We are live at Stanford University from the Women in Data Science Conference. I am Lisa Martin and we'll be right back (upbeat music)